Question 1

If income doubles and the quantity demanded of good x more than doubles,then good x can be described as a:

Accepted Answer

A)  substitute good.
B)  complement good.
C)  necessity.
D)  luxury.E) A) and B)
F) All of the above

Question 2

A decrease in demand is represented by:

Accepted Answer

A)  a shift outward of the entire demand curve.
B)  a shift inward of the entire demand curve.
C)  a movement along the demand curve in a southeasterly direction.
D)  a movement along the demand curve in a northwesterly direction.E) All of the above
F) None of the above

Exam 3: Income and Substitution Effects

A decrease in demand is represented by:

Correct Answer
verified

If income doubles and the quantity demanded of good x more than doubles,then good x can be described as a:

Correct Answer
verified

Exam 3: Income and Substitution Effects

A decrease in demand is represented by:

Correct AnswerverifiedShow Answer

If income doubles and the quantity demanded of good x more than doubles,then good x can be described as a:

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified