Suppose that a consumer only consumes fried fish and fries. Suppose we plot a budget constraint where fried fish is on the y-axis and fries is on the x-axis.
Now, the price of fried fish decreases. What happens to his budget constraint as a result?
a. The y-intercept of the budget constraint increases, and the x-intercept is unchanged
b. The y-intercept of the budget constraint decreases, and the x-intercept is unchanged
c. The x-intercept of the budget constraint increases, and the y-intercept is unchanged
d. The x-intercept of the budget constraint decreases, and the y-intercept is unchanged