Rayan went to his favorite hamburger restaurant with $3, expecting to buy a $2 hamburger and a $1 soda. When he arrived, he discovered that hamburgers were on sale for $1 each, so Rayan bought two hamburgers and a soda. Rayan's response to the decrease in the price of hamburgers is best explained by: O A. the substitution effect. O B. the income O C. the price effect. O D. a rightward shift in the demand curve for hamburgers effect.

Rayan went to his favorite hamburger restaurant with $3, expecting to buy a $2 hamburger and a $1 soda. When he arrived, he discovered that hamburgers were on sale for $1 each, so Rayan bought two hamburgers and a soda. Rayan's response to the decrease in the price of hamburgers is best explained by: O A. the substitution effect. O B. the income O C. the price effect. O D. a rightward shift in the demand curve for hamburgers effect.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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