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In-Class Exercise: Ken has an Income of $100 each month. He can spend that income on Pizza or other goods. Assume current cost of pizza

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In-Class Exercise: Ken has an Income of $100 each month. He can spend that income on Pizza or other goods. Assume current cost of pizza is $10. a. First, Draw a budget constraint for Pizza versus income spent on consumption of all other goods. b. On the same graph as part (a), draw two more budget constraints, one if the price of Pizza is $5 and one if the price of pizza is $20. c. Draw a price-consumption curve on the same graph. Make sure you show indifference curves corresponding to each of the three budget constraints. d. Derive a demand curve for pizza based on the graph you drew in parts (a) - (c)

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