This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: When the wage increases, the substitution effect in the household's choices leads to A) a ... (Read 48 times)

humphriesbr@me.com

  • Hero Member
  • *****
  • Posts: 550
on: Jun 30, 2018
When the wage increases, the substitution effect in the household's choices leads to
 
  A) a decrease in consumption and leisure.
  B) a decrease in consumption and an increase in leisure.
  C) an increase in consumption and a decrease in leisure.
  D) an increase in consumption and leisure.

Question 2

According to Keynes, the consumption-income relationship is shown as C = a + bYD. Therefore, the saving-income relationship is
 
  a. S = a + (1  b)YD.
  b. S =  a + (1  b)YD.
  c. S = a + (1  b)/YD.
  d. S =  a + (1 b)/YD.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

adammoses97

  • Sr. Member
  • ****
  • Posts: 337
Reply #1 on: Jun 30, 2018
Answer to Question 1

C

Answer to Question 2

B


humphriesbr@me.com

  • Member
  • Posts: 550
Reply 2 on: Jun 30, 2018
YES! Correct, THANKS for helping me on my review

matt95

  • Member
  • Posts: 317
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

Drug abusers experience the following scenario: The pleasure given by their drug (or drugs) of choice is so strong that it is difficult to eradicate even after years of staying away from the substances involved. Certain triggers may cause a drug abuser to relapse. Research shows that long-term drug abuse results in significant changes in brain function that persist long after an individual stops using drugs. It is most important to realize that the same is true of not just illegal substances but alcohol and tobacco as well.

Did you know?

Though “Krazy Glue” or “Super Glue” has the ability to seal small wounds, it is not recommended for this purpose since it contains many substances that should not enter the body through the skin, and may be harmful.

Did you know?

Amoebae are the simplest type of protozoans, and are characterized by a feeding and dividing trophozoite stage that moves by temporary extensions called pseudopodia or false feet.

Did you know?

HIV testing reach is still limited. An estimated 40% of people with HIV (more than 14 million) remain undiagnosed and do not know their infection status.

Did you know?

As the western states of America were settled, pioneers often had to drink rancid water from ponds and other sources. This often resulted in chronic diarrhea, causing many cases of dehydration and death that could have been avoided if clean water had been available.

The Greenhouse Effect The Greenhouse Effect
Effect of Stress on Immune Function Effect of Stress on Immune Function
Doppler effect Doppler effect
Pasteur effect Pasteur effect
Effect of “Moral Restraint” in the Malthusian Model Effect of “Moral Restraint” in the Malthusian Model
The Coriolis Effect The Coriolis Effect
Video: Digestive System Animation

For a complete list of videos, visit our video library