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ECC1000 - Principles of microeconomics - S1 2025

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Ali and Bilal are two neighboring farmers. Ali must decide whether to grow rice or cotton in this Kharif season, whereas Bilal must decide between rice, cotton, and maize. Their payoff matrix is given below. Based on the given information, read the following statements and select the correct one.

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The total effect is a decline in X left shoes purchased. The X is closest to: (Enter a whole number, with no special characters like dollar signs, and no letters.)

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Consider a worker whose choice is between hours of free time and consumption. His company has now cut his wage rate. Read the following statements and select the correct one.

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The substitution effect is a decline in Y left shoes purchased. The Y is closest to: (Enter a whole number, with no special characters like dollar signs, and no letters.)

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The income effect is a decline in Z left shoes purchased. The Z is closest to: (Enter a whole number, with no special characters like dollar signs, and no letters.)

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The total effect of the increase in price is a decline of __X__ units of food purchased. The number X is closest to: (Enter a whole number, with no special characters like dollar signs, and no letters.)

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The substitution effect of the increase in price is a decline of __Y__ units of food purchased. The number Y is closest to: (Enter a whole number, with no special characters like dollar signs, and no letters.)

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The income effect of the increase in food price is a decline of __Z__ units of food purchased. The number Z is closest to: (Enter a whole number, with no special characters like dollar signs, and no letters.)

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What is the price of food on BC1? Enter a whole number, with no special characters like dollar signs, and no letters.

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What is the price of food on BC0? Enter a whole number, with no special characters like dollar signs, and no letters.

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