Use the following to answer question:
-(Figure and Table: The Budget Line)Use Figure and Table: The Budget Line.A(n)_____ in the price of clams would rotate the budget line,changing the intercept on the _____ axis and moving it _____ the origin.
A)increase;horizontal;toward
B)decrease;horizontal;toward
C)increase;vertical;toward
D)decrease;vertical;away from

Question

Use the following to answer question: 
-(Figure and Table: The Budget Line)Use Figure and Table: The Budget Line.A(n)_____ in the price of clams would rotate the budget line,changing the intercept on the _____ axis and moving it _____ the origin.
A)increase;horizontal;toward 
B)decrease;horizontal;toward 
C)increase;vertical;toward 
D)decrease;vertical;away from

Quizplus · Accepted Answer

An increase in the price of clams would rotate the budget line counterclockwise around the intercept on the vertical axis, thereby changing the intercept on the horizontal axis and moving it toward the origin.

Use the Following to Answer Question