The _________ is the change in the quantity demanded of a good that occurs because a change in the price of the good changes the real income of the purchaser.

Question

Quizplus · Accepted Answer

The income effect is the change in the quantity demanded due to a change in the consumer's real income caused by a change in the price of a good while the consumer's consumption of other goods remained constant.

The _________ Is the Change in the Quantity Demanded of a Good