A consumer demands two goods, X and Y. The indifference curve diagram shows the effect of a change in the price of one of these goods on the consumer's equilibrium. [Figure showing good Y vs good X, with budget lines and indifference curves I1, I2]
- (a)Which demand curve can be deduced from the diagram? A [Diagram of a downward-sloping demand curve for good X, starting above origin and intersecting X-axis] B [Diagram of a downward-sloping demand curve for good X, starting from origin and intersecting X-axis] C [Diagram of a downward-sloping demand curve for good Y, starting above origin and intersecting Y-axis] D [Diagram of a downward-sloping demand curve for good Y, starting from origin and intersecting Y-axis][1]
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- [1] Answer: B
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