The figure below shows a consumer maximizing utility at two different prices (the left panel) d the consumer's demand for good X at the same two prices of good X (the right panel). The ice of good Y is $4.50. When the price of X increases from point S to point R along the mand curve, the substitution effect of the price increase is and the income effect is

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A: Utility:The utility is the power or capacity of the goods and services to satisfy human wants, it is…

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A: The income effect refers to the change in real income due to change in the price of a good. In the…

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A: Since you have posted multiple questions, we will answer the first two questions for you. if you…