An increase in the price of aninferior goodwill increase the demand for that good

1. True
2. False

In a scenario where two goods (a and b) are perfect complements, if the price ofgood adecreases, thenthe change in demand for good ais entirely due to the income effect.

1. True
2. False

A consumeris endowed with a positive amount of two goods.She has to sell some of one goods to consume more of the other.Assuming she has no other sources of income,her endowment point will be on her budget line.

1. True
2. False