Note AcademyNote Academy
Start

Economics (AS & A Level) · May / June 2021 · Paper 31 · Question 4

9708Indifference curves and budget lines

The graph shows the budget line for a household as used in indifference curve analysis. What can be concluded about the amount of income that could be spent by the household?

  1. AIt is greater at point R than point S.
  2. BIt is greater at point T than point S.
  3. CIt is greatest at point S.
  4. DIt is the same at points R, S and T.

As printed in the paper

Show the answer

Correct answer: D. It is the same at points R, S and T.

Sit this whole paper →More on Indifference curves and budget lines

Make a free account to save your answers and see your weak topics and ask the AI why a wrong answer is wrong.