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Suppose Alice spends her entire budget on books and movie downloads. If her budget does not change, and the price of a book stays the

Suppose Alice spends her entire budget on books and movie downloads. If her budget does not change, and the price of a book stays the same, but the price of a downloaded movie falls, her budget line

does not change because her budget has not changed.

rotates inward and its slope changes.

shifts inward and its slope does not change.

shifts outward and its slope does not change.

rotates outward and its slope changes.

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