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The Wealth Effect Is Best Described as Resulting From

Question 117

Multiple Choice

The wealth effect is best described as resulting from:


A) an increase in the price level reducing the real value of wealth.
B) a decrease in the price level reducing the real value of wealth.
C) an increase in wealth due to capital gains.
D) a decrease in wealth due to capital gains.
E) an increase in disposable income due to a reduction in taxes.

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