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A rightward shift of the budget line is caused by a

Economics
JAMB 2014

A rightward shift of the budget line is caused by a

  • A. fall in consumer income
  • B. change in consumer taste
  • C. fall in the commodity relative price
  • D. rise in the consumer income
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Correct Answer: Option D
Explanation

When there is an increase in income, a consumer can buy more of both goods and this shows an outward i.e. rightward shift in the budget line.

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