The Income Effect of a Higher Wage Is Defined as

Multiple Choice

The income effect of a higher wage is defined as

A) the increased income workers must be paid to be willing to work more.
B) the increased prices of consumer goods that result from increased worker incomes.
C) the increased demand for leisure that results from increased worker incomes.
D) the increased workers' purchasing power that results from increased worker incomes.
E) the desire for workers to purchase more normal goods and fewer inferior goods as income rises.