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microeconomics The budget constraint for a consumer who only buys apples (A) and bananas (B) is PAA + PBB = I where consumer income is

microeconomics

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The budget constraint for a consumer who only buys apples (A) and bananas (B) is PAA + PBB = I where consumer income is I, the price of apples is PA, and the price of bananas is PB. To plot this budget constraint in a figure with apples on the horizontal axis, we should use a budget line represented by the equation: O A = -IIPA + (PB/PA)B O A = I/PA - (PB/ PA)B O B = -I/PB + (PA/PB)A O B = I/PB - (PA/PB)A O B = -IIPB + (PB/PA)A

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