February 23, 2017

Homework Help: Econ T/F

Posted by Elle on Thursday, March 1, 2007 at 9:18pm.

yes, its a true or false question

is this a true or false question?

Suppose that after a price change, the income effect is zero, but the substitution effect is not. For such a good, the quantity demanded is directly related to its price.

oh well I think it is true.


The quantity demanded is also related to the price of the substitute good.

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