If the slope of the budget line changes, there MUST have been a change in the consumer's preferences. an increase in the consumer's income. a change in the price of at least one good. a change in the price of both goods. None of these

Which of the following best describes the economic effect that results from the government having a budget surplus? a. consumers save more and spend less, enabling long-term financial planning. b. overall demand decreases, reducing the incentive for producers to increase production. c. banks have more deposits, enabling them to make more loans to investors. d. government spending increases, increasing competition for goods and services and driving prices up.