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When Incomes Are Rising,new Car Sales Increase While Used Car

Question 159

Multiple Choice

When incomes are rising,new car sales increase while used car sales decrease.This indicates that


A) used cars and new cars are both normal goods.
B) used cars are inferior goods and new cars are normal goods.
C) used cars and new cars are complements.
D) used cars and new cars are substitutes.
E) used cars are normal goods and new cars are inferior goods.

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