The Table Below Shows the Total Utility Associated with Various

question 65

Multiple Choice

The table below shows the total utility associated with various units of goods X and Y.Table 7.5

-The income and substitution effects of a price change occur because:

• A)consumer incomes are not constant.
• B)consumer substitution rates are not constant.
• C)income and substitution effects never occur simultaneously.
• D)of diminishing marginal utility and the equimarginal principle.
• E)of increasing marginal utility and the equimarginal principle.

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