Question

what determine the slope of the budget line​

Answer 1

Answer:

So there's your answer

Explanation:

It is also important to remember that the slope of the budget line is equal to the ratio of the prices of two goods. ... Now, the quantity of good Y purchased if whole of the given income M is spent on it is OB. It is thus proved that the slope of the budget line BL is equal to the ratio of prices of two goods.

Answer 2

Answer:

The slope of the budget line is the is the ratio of the prices of good 1 and good 2. This would mean price of good on the x axis divided price of goods on the y axis. The slope of a budget line is always negative as it is downward sloping.