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Consider the income and substitution effects. The substitution effect is the change in quantity demanded that occurs a) when one good is substituted for another.
Consider the income and substitution effects. The substitution effect is the change in quantity
demanded that occurs
a) when one good is substituted for another.
b) with a change in the relative prices of two or more goods.
c) as a result of a change in absolute prices, with real income held constant.
d) as a result of a change in relative prices, with real income held constant.
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