MCQOPTIONS
Saved Bookmarks
| 1. |
The income effect of a price increase of a normal good is to ________ of that good and the substitution effect is to _________ of that good? |
| A. | increase quantity demanded, reduce quantity demanded |
| B. | increase quantity demanded, increases quantity demanded |
| C. | reduce quantity demanded, reduce quantity demanded |
| D. | reduce quantity demanded, increase quantity demanded |
| Answer» D. reduce quantity demanded, increase quantity demanded | |