dtgwrth8864 dtgwrth8864
  • 14-03-2024
  • Business
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Ben consumes two goods and his utility function is U(x1, x2) = x1²x2⁴. The price of good 2 does not change and his income does not change, but the price of good 1 decreases. The income effect is zero.
a) True
b) False

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