Of the following choices, which could have shifted Megan's budget constraint from BC to BC₂? Check all that apply. The price of baseball tickets increased while her income and the price of symphony tickets stayed the same. Her income decreased while the prices of baseball and symphony tickets stayed the same. Her income increased while the prices of baseball and symphony tickets stayed the same. The prices of both baseball and symphony tickets decreased while her income stayed the same. Based on Megan's consumption of ballgames and symphonies after her budget constraint shifted, ballgames are are goods. goods and symphonies
Of the following choices, which could have shifted Megan's budget constraint from BC to BC₂? Check all that apply. The price of baseball tickets increased while her income and the price of symphony tickets stayed the same. Her income decreased while the prices of baseball and symphony tickets stayed the same. Her income increased while the prices of baseball and symphony tickets stayed the same. The prices of both baseball and symphony tickets decreased while her income stayed the same. Based on Megan's consumption of ballgames and symphonies after her budget constraint shifted, ballgames are are goods. goods and symphonies
Chapter10: Consumer Choice Theory
Section: Chapter Questions
Problem 6P
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Question
Transcribed Image Text:O
0
(2 18
8. Normal and inferior goods
Megan likes going to the ballpark to watch baseball, and she also is fond of going to the theater to listen to the symphony orchestra. The following
diagram shows two of Megan's indifference curves for going to ballgames and symphonies. With Megan's initial budget constraint (BC), she chose to
go to five symphonies and three baseball games per month (point X). Then her budget constraint shifted to BC, and she chose to go to four
symphonies and six ballgames per month (point Y),
SEOTING
2
4
SYMPHONIES
BC
Transcribed Image Text:8
of the following choices, which could have shifted Megan's budget constraint from BC₁ to BC₂? Check all that apply.
The price of baseball tickets increased while her income and the price of symphony tickets stayed the same.
Her income decreased while the prices of baseball and symphony tickets stayed the same.
Her income increased while the prices of baseball and symphony tickets stayed the same.
The prices of both baseball and symphony tickets decreased while her income stayed the same.
Based on Megan's consumption of ballgames and symphonies after her budget constraint shifted, ballgames are
are
goods.
goods and symphonies
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