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Suppose You Drink More Tea Because the Price of Coffee

Question 6

Multiple Choice

Suppose you drink more tea because the price of coffee has increased.Which of the following best explains your action?


A) Positive relation between money income and demand
B) Inverse relation between price and quantity supplied
C) Substitution effect of a price change
D) Income effect of a price change
E) Positive relation between price and quantity demanded

Correct Answer:

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