Draw the budget constraint and indifference curve


Problem: You are in the mall, buying gifts since it is your birthday. You are given P2500 and you decided to spend it on two products. Provide a hypothetical example of what two products you will buy using your money. (Example found in Some Important Concepts Regarding Household Behavior and Consumer Theory); Provide the prices of the two products; Draw the budget constraint, an indifference curve and the consumer equilibrium point. Explain the graph (why you chose that combination and not any other combination).

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Microeconomics: Draw the budget constraint and indifference curve
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