What is the effect on the buyer''s purchase of normal goods

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Reference no: EM131182086

Suppose that the prices of all goods and services available to a particular buyer go up by 20 percent, all at the same time, while the buyer's income (or budget) remains unchanged. What is the effect on the buyer's purchase of normal goods? Of inferior goods? Is there a substitution effect?

Reference no: EM131182086

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