When your income increases
A) your budget line shifts rightward and its slope does not change.
B) your budget line shifts leftward and its slope does not change.
C) the slope of your budget line increases.
D) the slope of your budget line decreases.
Question 2
The ________ is the cost of paid by the producer plus any cost paid by everyone else when another unit of a good or service is produced.
A) marginal external cost.
B) marginal private cost.
C) marginal social cost.
D) None of the above answers is correct.
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