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?

Question

TuteeHUB · Accepted Answer

reduce quantity demanded, increase quantity demanded

TuteeHUB · Answer

increase quantity demanded, reduce quantity demanded

TuteeHUB · Answer

increase quantity demanded, increases quantity demanded

TuteeHUB · Answer

reduce quantity demanded, reduce quantity demanded

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

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?