a. Jakespends his money on only two things: t-shirts and donuts.Suppose the price of donuts falls.Naturally, Jake buys moredonuts.He buys fewer t-shirts.This means that for Jake, the _______ dominates.

a. substitution effect

b. income effect

c. demand effect

d. butterfly effect

b. Becky spends her money on only two things: hiking bootsand paintbrushes.For her, the income effect dominates.When the price of paintbrushesrises, Beckywill naturally buy fewerpaintbrushes.Andshe will buy _______ hiking boots.

a. fewer

b. more

c. the same number of