Recall the Application About the Response of New York City

question 3

Multiple Choice

Recall the Application about the response of New York City cab drivers to an increase in cab fares to answer the following question(s) .
-Recall the Application. A study of the taxi market in New York City showed that when cab fares increase, thereby increasing the wages of cab drivers

• A) the income effect for leisure demand outweighs the substitution effect for leisure demand.
• B) the substitution effect for leisure demand outweighs the income effect for leisure demand.
• C) the income effect for leisure demand and the substitution effect for leisure demand work in the same direction, causing the labor supply to increase.
• D) the income effect for leisure demand and the substitution effect for leisure demand work in the same direction, causing the labor supply to decrease.

---

Definitions:

Screen Size

The diagonal measurement of a display screen, typically measured in inches.

Data Usage

The way in which information is utilized, processed, or consumed, often referring to digital or electronic data.

Bandwidth

The maximum rate of data transfer across a given path or internet connection, measured in bits per second (bps).

Face-To-Face Communication

Direct interaction between two or more people, allowing for immediate feedback and nonverbal cues.