If a consumer consumes two goods, A and B, and the price of A falls, then the income effect would cause the consumer to: O a buy more A and less B. O b. buy less A and more B Oc. buy less A and less B. O d. buy more A and more B
If a consumer consumes two goods, A and B, and the price of A falls, then the income effect would cause the consumer to: O a buy more A and less B. O b. buy less A and more B Oc. buy less A and less B. O d. buy more A and more B
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![If a consumer consumes two goods, A and B, and the price of A falls, then the income effect would cause the consumer to:
O a
buy more A and less B.
O b.
buy less A and more B
Oc. buy less A and less B.
O d. buy more A and more B](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F9e8aa205-32aa-4f07-9b5c-13bb56a777db%2Fb3cd6e88-c23b-4f3c-aa46-dcb6a4b48897%2F8jjjfrg_processed.png&w=3840&q=75)
Transcribed Image Text:If a consumer consumes two goods, A and B, and the price of A falls, then the income effect would cause the consumer to:
O a
buy more A and less B.
O b.
buy less A and more B
Oc. buy less A and less B.
O d. buy more A and more B
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