Question: Answer the following questions based on two assumptions: (1) Inflation increases the prices of all goods by 20%. (2) Ina's income increases from $50,000 to

Answer the following questions based on two assumptions:
(1) Inflation increases the prices of all goods by 20%.
(2) Ina's income increases from $50,000 to $55,000.
a. Has Ina's budget line become steeper, less steep, or equally as steep?
b. Has Ina's budget line shifted outward, inward, or not at all?

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