Budget Car Rental Requirements

Suppose that after meeting with his weekly rent and needs food, $ 50.00 weekly Yin has the discretionary income they spend on gasoline for your car or any other property not mentioned above. So Yin s discretionary budget line. A) will become more pronounced if you increase the price of gasoline and gasoline is plotted on the vertical axis. B) moves to the right in parallel direction. C) will become more pronounced if oil prices rise and gasoline is plotted on the horizontal axis. D) moves to the left in parallel direction. is A? as the price of gasoline increased his budget line will rise at a time.

C) will become more pronounced if it rises the price of oil and gasoline is plotted on the horizontal axis. His budget line does not move, it is not your discretionary income is changing. If he had income more or less complete discretion, then change the total of all that could be purchased. But what we have is a change in the price of an item that is included in the chart. That would change the amount of each item you can buy one over the other, which will make it more or less pronounced. What this will do is move the point that amount of gas crossing its axis close to zero. This would not make the line more pronounced if the gas is on the vertical axis, you would if you are in the horizontal axis.

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