-Refer to Exhibit 3-6

question 32

Multiple Choice

-Refer to Exhibit 3-6.If a decrease in income causes the demand for good X to shift from D₁ to D₂,then good X is

• A) a normal good.
• B) an inferior good.
• C) a substitute good.
• D) a complementary good.
• E) a neutral good.

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Definitions:

Implementation

The process of putting a decision or plan into effect; in a business context, it often refers to executing strategies or initiatives.

Negligence

Failure to exercise the care that a reasonably prudent person would exercise in like circumstances.

Damages

Compensation claimed by a person for loss or injury as a result of a breach of contract or tort.

Compensation

Payment or reward given to someone as a recompense for loss, injury, or suffering.