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​Suppose the Price of Good X Increases and Consumers Purchase

Question 396

Multiple Choice

​Suppose the price of good X increases and consumers purchase more of good Y. Which of the following statements is necessarily true about good Y?


A) ​Good Y is a normal good.
B) ​Good Y is an inferior good, but not a Giffen good.
C) ​Good Y is an inferior good and a Giffen good.
D) ​Good Y could be a normal or inferior good.

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