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Economics
MEDIUM
ENGLISH
Economics
The income effect of a price increase of a normal good is to ________ of that good and the substitution effect is to _________ of that good?
A
increase quantity demanded, reduce quantity demanded
Option A
B
increase quantity demanded, increases quantity demanded
Option B
reduce quantity demanded, reduce quantity demanded
Correct answer
D
reduce quantity demanded, increase quantity demanded
Option D
Correct answer: C
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