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Question
A decrease in the price of X-axis product will make the budget line ______.
Options
flatter
steeper
parallel
none of these
MCQ
Fill in the Blanks
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Solution
A decrease in the price of X-axis product will make the budget line flatter.
Explanation:
A lower price for the good on the horizontal axis increases its maximum affordable quantity, while the vertical-axis intercept stays unchanged; the line pivots outward and becomes flatter.
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