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  3. your budget line for goods a and b is represented...

Question: your budget line for goods a and b is represented...

Question details

2 0 1 23 4 5 6 7 8 9 10 Good AYour budget line for goods A and B is represented below. Which of the following statements is or could be TRUE?
(a) If income is $45, the price of Good A must always be $5.
(b) The price of Good A increases after the consumer buys 2 units.
(c) When you have 5 units of Good A, you are able to buy an additional unit of Good A if you give up 1/3 units of Good B.
(d) When you have 5 units of good B, the marginal rate of transformation of A for B is 1/3 (𝑀𝑅𝑇ab = 1/3)
(e) All of the above statements are false.

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