单选题

The diagram to the below illustrates a consumer's allocation of her budget between items X and Y. With an initial budget (BC1 ) she consumes Qa units of item Y. When the price of Y drops, she consumes Qc units of item Y.  Lines BC2 and BC3 are parallel to one another.

【正确答案】 C
【答案解析】

When the price of Yfalls, the budget constraint shifts outward from BC1 to BC2 , indicatingan increase in the consumption of X Points a and b reflect the change in consumption of Ydue solely to a decrease in price because BC3 reduces her income by a sufficient amount to return her to her original indifference curve. Qc - Qb is the income effect (which is negative here) because it is an inferior good.