1. (POINTS: 7.5) Which alternative below is correct: (a) An increase in income causes an increase in the quantity demand

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1 Points 7 5 Which Alternative Below Is Correct A An Increase In Income Causes An Increase In The Quantity Demand 1 (24.19 KiB) Viewed 63 times

1. (POINTS: 7.5) Which alternative below is correct: (a) An increase in income causes an increase in the quantity demanded of an ordinary good. (b) If two goods are complements to each other, the decrease in the price of one of them decreases the consumption of the other. (c) If two goods are substitutes to each other, the increase in the price of one of them increases the consumption of the other. (d) Ordinary goods are always elastic.