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Wk 1- Apply: The Fundamentals of Economics [due ... 6 Submitted 75/75 Total points awarded Consider each of the following scenarios and determine whether it is an example of the income effect, the substitution effect, or diminishing marginal utility. a. Sasha likes to treat herself to a small latte each afternoon. On Wednesdays, when the coffee shop decreases the price of lattes, Sasha buys a large latte instead. 5/5 points awarded ° b. The price of chicken nuggets rises from $3 to $3.50 for a box of six. The price of hamburgers stays the same. Mateo used to eat chicken nuggets three times a week. He has replaced one chicken nuggets meal per week with hamburgers. eBook [Substitution effect| @ References c. Jack offers Victoria a plate of a dozen chicken wings. Victoria enjoys the first wing the best, the second wing a little bit less, and by the seventh wing, she has had enough and chooses not to eat the remaining five wings. | Diminishing marginal utility | @ % < Prey 6of 15 Hf Next > Help Exit