Which of the Following Statements Represents a Correct and Sequentially

question 151

Multiple Choice

Which of the following statements represents a correct and sequentially accurate economic explanation?

• A) X is an inferior good and Y is a substitute for X. Income rises, the demand for X falls, the price of X falls, and the demand for Y rises.
• B) X is an inferior good and Y is a substitute for X. Income rises, the demand for X falls, the price of X falls, and the demand for Y falls.
• C) X is an inferior good and Y is a substitute for X. Income falls, the demand for X rises, the price of X rises, and the demand for Y falls.
• D) X is an inferior good and Y is a substitute for X. Income rises, the quantity demanded of X rises, the price of X rises, and the demand for Y falls.
• E) none of the above

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Definitions:

Reasoning

The process of thinking about something in a logical way in order to form a conclusion or judgment.

Ego

In psychoanalytic theory, the part of the psyche that mediates between the instinctual desires of the id, the moral and social demands of the superego, and reality.

Rule-Oriented

Pertains to systems, behaviors, or activities that are governed by a specific set of rules or protocols.

Moral

Being related to principles of right and wrong behavior, moral often refers to the ethical judgments and actions considered acceptable by a society or individual.