Q. Assume Samantha likes hot dogs and hamburgers equally, and the price of hamburgers (a normalgood) declines. She will most likely purchase more hamburgers; this is (Solved)

1. a reflection of the income effect

2. a reflection the substitution effect

3. a reflection of the income and substitution effects

4. None of above

  • b. a reflection the substitution effect
Subscribe Now

Get All Updates & News