Figure: Income and Substitution Effects (Figure: Income and Substitution Effects) Look at the figure Income and Substitution Effects.Carlos is originally consuming his optimal consumption bundle at point A in the figure when the price of gasoline falls.The movement from K2 to K3 reflects:

Question

Figure: Income and Substitution Effects   (Figure: Income and Substitution Effects) Look at the figure Income and Substitution Effects.Carlos is originally consuming his optimal consumption bundle at point A in the figure when the price of gasoline falls.The movement from K2 to K3 reflects:

Quizplus · Accepted Answer

The Answer of Figure: Income and Substitution Effects   (Figure: Income and Substitution Effects) Look at the figure Income and Substitution Effects.Carlos is originally consuming his optimal consumption bundle at point A in the figure when the price of gasoline falls.The movement from K2 to K3 reflects: