Suppose There Are Only Two Goods,A and B,and That Consumer

question 62

Multiple Choice

Suppose there are only two goods,A and B,and that consumer income is constant.If the price of good A falls and the consumption of good B rises,we can conclude that

• A)A is a normal good.
• B)B is a normal good.
• C)A is an inferior good.
• D)B is an inferior good.
• E)both A and B are normal goods.

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Definitions:

Self-rated Happiness

A person's personal evaluation of their own joy and welfare.

ANOVA Model

A statistical technique that assesses potential differences in a scale-level dependent variable by a nominal-level variable having 2 or more categories.

F Statistic

A ratio used in an analysis of variance test that determines the significance of groups’ differences in an experimental design.

ANOVA

An acronym for Analysis of Variance, a statistical method used to compare the means of three or more samples.