Multiple Choice
Use the following to answer questions :
Figure: The Time Allocation Budget Line
-If an individual's labour supply curve is upward-sloping at low wage rates and downward-sloping at high wage rates,then at higher wage rates:
A) there is no substitution effect as wages change.
B) there is no income effect as wages change.
C) the income effect dominates the substitution effect.
D) the substitution effect dominates the income effect.
Correct Answer:

Verified
Correct Answer:
Verified
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