Joe's Utility Function Is Given by U(x,y)= Min[x,y]

Multiple Choice

Joe's utility function is given by U(x,y) = min[x,y]. The price of x is $4 and the price of y is $2 and Joe's income is $12. If the price of x decreases to $2 but Joe's income stays constant, then:

A) the income effect is zero.
B) the income effect is equal to 2.
C) the income effect is equal to 1.
D) the total effect is zero.