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Assume that hamburger is measured on the horizontal axis and pizza on the vertical axis.

4.       Assume that hamburger is measured on the horizontal axis and pizza on the vertical axis.  If the price of pizza rises, with income and price of hamburger remaining constant, the budget line will.

(a)     become flatter

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(b)     become steeper

(c)     shift outward

(d)     become steeper or flatter depending on the relationship between prices and income

 

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