A budget constraint illustrates the
A)prices that a consumer chooses to pay for products he consumes.
B)purchases made by consumers.
C)consumption bundles that a consumer can afford.
D)consumption bundles that give a consumer equal satisfaction.

Question

Quizplus · Accepted Answer

A budget constraint illustrates the consumption bundles that a consumer can afford given their income and the prices of goods. It shows the combination of goods and services that a consumer can purchase without exceeding their budget.

A Budget Constraint Illustrates the