Exhibit 13-4 -Refer to Exhibit 13-4. Over the Segment BC of the BC

question 72

Multiple Choice

Exhibit 13-4
-Refer to Exhibit 13-4. Over the segment BC of the curve,

• A)the substitution effect is stronger than the income effect.
• B)the income and substitution effects are evenly matched.
• C)the income effect is stronger than the substitution effect.
• D)income is so high that work is unnecessary.
• E)irrational behavior has set in.

---

Definitions:

Similar Stocks

Stocks of companies operating in the same industry or sector, often exhibiting similar price movements and trends.

Anticipated

The expected occurrence or expectation of an event, often used in the context of financial forecasts or income.

Annually

Occurring once every year or relating to a period of one year.

Annually

Annually means once every year.