Resources are used to create goods and services.

The smaller a country is, the less of an ability it has to export a portion of the burden of an import tariff to other countries.

Answer the following statement true (T) or false (F)

Suppose that an individual has chosen not to work. Then a change in the wage rate:

A. creates a substitution effect, but no income effect. B. creates an income effect, but no substitution effect. C. creates both and income and substitution effect. D. creates neither an income effect nor a substitution effect.