Multiple Choice
The income effect refers to the change in quantity demanded that occurs as a result of a change in
A) real income, with relative prices held constant.
B) preferences, with real income held constant.
C) marginal utility, with real income held constant.
D) money income, with relative prices held constant.
E) relative prices, with real income held constant.
Correct Answer:
Verified
Correct Answer:
Verified
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