top of page

Economics explained


Behavioral economics

Budget lines

Budget lines

The secret to scoring awesome grades in economics is to have corresponding awesome notes.
A common pitfall for students is to lose themselves in a sea of notes: personal notes, teacher notes, online notes textbooks, etc... This happens when one has too many sources to revise from! Why not solve this problem by having one reliable source of notes? This is where we can help.
What makes TooLazyToStudy notes different?
Our notes:
  • are clear and concise and relevant
  • is set in an engaging template to facilitate memorisation
  • cover all the important topics in the O level, AS level and A level syllabus
  • are editable, feel free to make additions or to rephrase sentences in your own words!

    Looking for live explanations of these notes? Enrol now for FREE tuition!

Consumers are constrained in what they are able to buy due to their limited income and the prices of goods they wish to buy.

The budget line shows numerically all the possible combinations of two products that a consumer can purchase with a given income and fixed prices.

The budget line shows what combinations of two goods you are able to buy, given

your income available to spend on them and

their prices

This budget line shows various combinations of chocolate bars and candy bars that can be purchased assuming that

the price of a chocolate bar is $1 and the price of a candy bar is $2 and

the consumer has a budget of $30 to be divided between the two goods

If you are limited to a budget of $30, you can consume any combination of chocolate bars and candy bars along the line (or inside it). You cannot, however, afford to buy combinations that lie outside it.

bottom of page