Suppose a Consumer Can Purchase Only Two Goods,soap and Apples

question 44

Multiple Choice

Suppose a consumer can purchase only two goods,soap and apples.If the price of soap falls and the consumption of apples increases,we can conclude that the increased consumption of apples is due to

• A)the income effect only.
• B)the substitution effect only.
• C)the deflation effect.
• D)both the income effect and the substitution effect.
• E)neither the income effect nor the substitution effect.

---

Definitions:

Attractive

Having qualities or features that evoke interest, desire, or pleasure in observers.

Inverted Triangle

A writing structure often used in journalism that starts with the most important information and follows with details in decreasing order of importance.

Hourglass Shape

A body figure characterized by a wider bust and hips with a narrower waist, resembling an hourglass.

Standards Of Beauty

Socially constructed ideals that define what is considered attractive or desirable within a culture or society.