If the quantity of good A (Q_A)is plotted along the horizontal axis,the quantity of good B (Q_B)is plotted along the vertical axis,the price of good A is P_A,the price of good B is P_B and the consumer's income is I,then the slope of the consumer's budget constraint is __________. A)-Qa/Qb B)-Qb/Qa C)-Pa/Pb D)-Pb/Pa E)I/Pa or I/Pb

Question

Quizplus · Accepted Answer

The slope of the budget constraint is -P_A/P_B because the budget constraint is a straight line with a slope of -P_A/P_B.

If the Quantity of Good a (QA)is Plotted Along the Horizontal

If the Quantity of Good a (Q_A)is Plotted Along the Horizontal