Abudget line for shannon shows her consumption options for two of her favorite goods. an increase in a shannon’s income would lead to: group of answer choices a) a parallel shift in her budget line to the left, allowing her to buy less of both goods. b) a parallel shift in her budget line to the right, allowing her to buy more of both goods. c) either a shift of the budget line to the right or the left depending on shannon’s.

The answer is B-  A parallel shift in her budget line to the right, allowing her to buy more of both goods.

Explanation:

A budget line is a straight line that slopes downward that illustrates graphically the combination between two products which a consumer can afford buy at a given market price with a given income. It separates what the consumer can afford from what the consumer cannot afford.

An increase the consumer's income will cause the budget line to shift outward (to the right), parallel to the original line with a given price. This means that the consumer can buy more goods with more income. However, if the consumer's income decreases, the line on the graph will shift downward (to the left) but will retain the same slope.

Therefore, Shanon's increase in her income would lead to a parallel shift in her budget line to the right allowing her to buy more goods.

levels of production can be increased by technology while holding labor and capital constant, because increased technology makes the production process more efficient. subsequently, the lras curve is almost a vertical line, that can shift to the right, with an increase in technology.

the relationship between the lras curve and the ppc is that both can make the economy could grow. the ppc achieves that when it shifts outward because of more resources or technological advances while the lras curve shifts if more resources are developed or if there are technological advances.

the lras curve is a vertical line at an output level that represents the number of goods and services a nation can produce over a sustained period using all of its productive resources as efficiently as possible with all of the current technology available to it.

the production possibilities frontier (ppf) is a graphical device that is used for economic analysis of production decisions because the ppf measures the maximum possible combinations of two goods that an economy is capable of producing with its currently available resources and technology.