Question

1) It was reported in a national daily newspaper that there is 2.5% inflation in necessary consumption items . Explain the impact of this inflation on consumer's equilibrium in a single commodity case ??

2) Ms Sudha wants to consume oranges and mangoes which were priced at rs100 per kg and rs200 per kg respectively . Her income is 5000 rs
i) write equation of budget line
ii) what is slope of budget line
iii) how much mangoes can be purchased from her entire income ??

PLEASE ANSWER FAST ​

Answer 1

Answer:

1. In the mid-2010s, the global economy witnessed the U.S. dollar gain steam against other major currencies and saw oil prices freefall, along with several other macroeconomic events.1 Conventional wisdom suggests the health of the U.S. dollar has an inverse relationship to the price of imports and in this case, a strong U.S. dollar decreases the price of imports. However, import prices of consumer discretionary goods don't always move in sync with changes in the U.S. dollar, as foreign firms often choose to maintain its prices in the U.S. market.
2. In a market, the price of medium quality mangoes is half that of good mangoes. A shopkeeper buys 80 kg good mangoes and 40 kg medium quality mangoes from the market and then sells all these at a common price which is 10% less than the price at which he bought the good ones. His overall profit is