Surette buys only orange juice and yoghurt. a. In 2014, Surette earns 20,000, orange juice is priced

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Surette buys only orange juice and yoghurt.

a. In 2014, Surette earns €20,000, orange juice is priced at €2 a carton and yoghurt is priced at €4 a tub. Draw Surette’s budget constraint.

b. Now suppose that all prices increase by

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Economics

ISBN: 9781408093795

3rd Edition

Authors: Mark P. Taylor, N. Gregory Mankiw

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