The backward bending individual labour supply curve indicates that: 1. the income effect dominates the substitution effect in the upward sloping portion of the curve. II. the substitution effect...

Q13

Extracted text: The backward bending individual labour supply curve indicates that: 1. the income effect dominates the substitution effect in the upward sloping portion of the curve. II. the substitution effect dominates the income effect in the downward sloping portion of the curve. III. the income effect dominates the substitution effect in the downward sloping portion of the curve. O A. Only III is correct O B. Only II is correct O C. Only I is correct O D. I and II are correct