Top Posters
Since Sunday
56
50
26
18
16
16
15
14
14
14
14
13
New Topic  
wrote...
Posts: 157
2 months ago

Question 1.

The change in people's purchasing power that occurs when the price of one good that they purchase changes is the

• substitution effect.

• real-income effect.

• price income effect.

• law of diminishing marginal utility.

Question 2.

If the price of a slice of pizza falls from $2 to $1.5, a pizza-loving consumer will

• substitute more Chinese food for pizza.

• spend more on soft drinks and less on pizza.

• see her purchasing power rise.

• see her purchasing power fall.
Source  Download
Economics Today: The Micro View
Edition: 19th
Author:
Read 10 times
1 Reply
Replies
Answer verified by a subject expert
wrote...
Posts: 151
Rep: 5 0
2 months ago
Sign in or Sign up in seconds to unlock everything.

Answer 1

real-income effect.

Answer 2

see her purchasing power rise.
1
Related Topics
New Topic      
Explore
Post your homework questions and get free online help from our incredible volunteers.
Learn More
Improve Grades
Help Others
Save Time
Accessible 24/7
  260 People Browsing
Related Images
 645
 26
 29

▶️ Video: Integumentary Anatomy

For a complete list of videos, visit our video library