When the Price of an Inferior Good Decreases

question 342

Multiple Choice

When the price of an inferior good decreases,

• A)both the income and substitution effects encourage the consumer to purchase more of the good.
• B)both the income and substitution effects encourage the consumer to purchase less of the good.
• C)the income effect encourages the consumer to purchase more of the good, and the substitution effect encourages the consumer to purchase less of the good.
• D)the income effect encourages the consumer to purchase less of the good, and the substitution effect encourages the consumer to purchase more of the good.

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Definitions:

Meeting Technologies

Tools and platforms that facilitate virtual or in-person meetings, including video conferencing software, collaborative workspaces, and presentation tools.

Parliamentary Procedure

A time-tested method for planning and running effective meetings; the best-known guide to this procedure is Robert’s Rules of Order.

Mobile Device

A portable computing device such as a smartphone or tablet that has wireless internet capabilities.

Designated Leader

An individual who has been officially assigned or chosen to lead and guide a group or team.