A consumer is deciding how many pizzas and sandwiches to buy. If the quantity of pizza is represented on the x-axis and the quantity of sandwiches on the y-axis, with the price of one pizza being Rs 10 and one sandwich costing Rs 5, what is the slope of the consumer's budget line?
Explanation
The slope of the budget line is given by the negative ratio of the price of the good on the x-axis to the price of the good on the y-axis. Here, slope = price of pizza / price of sandwich = 10 / 5 = 2.