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Suppose the demand for good x is ln Q x d = 21 0.8 ln P x 1.6 ln P y + 6.2 ln M

Suppose the demand for good x is ln Qxd = 21 0.8 ln Px 1.6 ln Py + 6.2 ln M + 0.4 ln Ax. Then we know goods x and y are:

a) inferior goods

b) substitutes.

c) complements.

d) normal goods.

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