Continuing with the same example, suppose that Joel takes his $12 to the flower shop and discovers that someone else just bought almost all the roses and daisies in the shop. Only 4 roses and 2 daisies remain in the shop, so that's all Joel can buy.
a. Show this consumption combination on the graph. Does it fall to the left or right of the budget line?
b. The next day, Joel goes back to the store with his $12 and this time there are plenty of roses and daisies available for purchase. However, the price of roses has increased to $2. Show the budget line before the price change, and then the resulting change in Joel's budget line.