Question

Empirical estimates show that for men ____________________________. a) the income effect is greater than the substitution effect b) the income and substitution effects are both large so that wage changes have no effect on hours c) the substitution effect is greater than the income effect d) the income and substitution effects are both small so that wage changes have no effect on hours

Answer 1

a)- the income effect is greater than the subsitutuion effect

Step-by-step explanation: