An increase in nonlabor income due to a rise in the value of stocks and bonds will cause

Name: An increase in nonlabor income due to a rise in the value of stocks and bonds will cause
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An increase in nonlabor income due to a rise in the value of stocks and bonds will cause a pure income effect, as it increases the individual's purchasing power without changing the relative price of goods or services. There is no change in the price of stocks or bonds, so there is no substitution effect.

An Increase in Nonlabor Income Due to a Rise in the Value