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this is given question 14. Bhatbhateni Departmental Store fixes the following prices for commodities X and Y. The prices of commodities X and Y are

this is given question

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14. Bhatbhateni Departmental Store fixes the following prices for commodities X and Y. The prices of commodities X and Y are Rs.20 and Rs.50 per unit respectively. A household has Rs.6000 to spend per month on commodities X and Y. Referring the information mentioned above, answer the following questions. Sketch the household budget line. 1i . Assume that the household splits its income equally between X and Y. Show where the household ends up on the budget constraint. iii. Suppose that the household income increases to Rs. 10000, sketch the new budget line facing the household. iv. After the increase in income, the household spends Rs. 1500 on Y and Rs.8500 on X. This implies that X is a normal or inferior good? What about Y good

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