qa consumer is in equilibrium at point a in the


Q. A consumer is in equilibrium at point A in the accompanying figure. The price of good X is $5.

a. Illustrate what is the price of good Y?

b. Illustrate what is the consumer's income?

c. At point A, Explain how many units of good X does the consumer purchase?

d. Assume the budget line changes so that the consumer achieves a new equilibrium at point B. Illustrate what change in the economic enviJorgement led to this new equilibrium? Is the consumer better off or worse off as a result of the price change?

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Business Economics: qa consumer is in equilibrium at point a in the
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