Question
The optimal amount of x1, x2, P1, P2 and income are given by the following: The original prices are: P 1 =15 P 2 =30
The optimal amount of x1, x2, P1, P2 and income are given by the following:
The original prices are: P1=15 P2=30
The original income is: I =2513
The new price of P1 is the following: P1'=65
Assume that the price of x1 has changed from P1 to P1'. What is the income effect?
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The Economics of Women Men and Work
Authors: Francine D. Blau, Marianne A. Ferber, Anne E. Winkler
7th edition
978-0190670863, 019067086X, 132992817, 978-0132992817
