Multiple Choice
Suppose income increases. Choose the correct statement.
A) The equilibrium price of turnips falls if a turnip is an inferior good.
B) The equilibrium price of turnips rises if a turnip is an inferior good.
C) The equilibrium quantity of turnips decreases if a turnip is an inferior good.
D) The supply of turnips decreases whether or not a turnip is an inferior good.
E) Both A and C
Correct Answer:
Verified
Correct Answer:
Verified
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