Figure 21-18 -Refer to Figure 21-18. It would be possible for the consumer to reach I₂ if A)the price of Y decreases. B)the price of X decreases. C)income increases. D)All of the above would be correct.

Question

Quizplus · Accepted Answer

All of the options would result in a rightward shift of the budget constraint, allowing the consumer to reach a higher indifference curve, including I₂. A decrease in the price of Y or X would make the good relatively cheaper, while an increase in income would increase the budget available for purchasing goods. Therefore, D is the best choice.

Figure 21-18 -Refer to Figure 21-18. It Would Be Possible for the Possible