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Suppose there are 2 goods, x1 and x2. The price of x1 goes up. Both goods are normal. Using income and substitution effects, show which
Suppose there are 2 goods, x1 and x2. The price of x1 goes up. Both goods are normal. Using income and substitution effects, show which of the claims below is correct. Question 6 options: Both goods will decrease in quantity x1 may decrease in quantity, but x2 will surely increase x1 will increase in quantity and x2 will decrease x1 will decrease in quantity, x2 may increase or decrease
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