When the price of blueberries falls, and the consumer increases the quantity of blueberries purchased, what can we infer about the income effect and substitution effect of the price change?

Question

Accepted Answer

The income effect is positive and reinforces the substitution effect.

Answer

The income effect is negative and exceeds the substitution effect.

Answer

The income effect is negative and just about offsets the substitution effect.

Answer

The income effect is negative and reinforces the substitution effect.

Answer

The income effect is positive and exceeds the substitution effect.

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When the price of blueberries falls, and the consumer increases the quantity of ...

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