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If a Consumer Purchases More of Good X and Good

question 144

True/False

If a consumer purchases more of good X and good Y after her income increases, then neither good X nor good Y is an inferior good for her.


Definitions:

Annual Dividend

An annual profit sharing from a corporation to its shareholders, usually in the form of a payment.

Future Value

The future financial worth of an asset or cash that equates to a designated current sum.

Cash Flows

The whole summation of cash transfers affecting a business's in and outflows, prominently affecting its quick access to funds.

Interest Rate

The charge, expressed as a proportion of the principal, required by a lender from a borrower for asset utilization.

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