Which, if any, of the following statements are true? In each case ex- plain the reasoning behind your answer. (a) A consumer's cost function must be homogeneous of degree 0 in all prices. [4 marks] (b) The effect of a decrease in the price in good i on a consumer's ordinary demand for good 3' must be the same as the effect of a decrease in the price in good j on the ordinary demand for good 2'. [4 marks] (c) For an inferior good the compensating variation of a price fall must be greater than the equivalent variation. [4 marks]