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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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Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts
WAEC and NECO CBT Software for Computers and Laptops - Candidates, Schools, Centres, Resellers - 100% Offline -Download Now
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Post UTME Past Questions Agent
Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts
Post UTME Past Questions Agent
WAEC and NECO CBT Software for Computers and Laptops - Candidates, Schools, Centres, Resellers - 100% Offline -Download Now
WAEC and NECO CBT App for Mobile Devices - Candidates, Schools, Centres, Resellers - 100% Offline -Download Now