7.

a. On abudget constraintgraph, if a level of consumption relates to apoint outside the budget constraint, can the consumer afford that point? (Just answer yes or no.)

b. On abudget constraintgraph, if a level of consumption relates to apoint inside the budget constraint, can the consumer afford that point? (Just answer yes or no.)

c. On abudget constraintgraph, if a level of consumption relates to apoint directly on the budget constraint, can the consumer afford that point? (Just answer yes or no.)

Briefly describe your own original example ofthe law of increasing opportunity cost.