The income effect can refer to a change in:

A) income because of a change in business investment.
B) money or nominal income because of a change in wages.
C) the quantity demanded of a good because of an implicit change in the buyer's income caused by a change in the price of a good or service.
D) the quantity demanded of a good because of a change in the buyer's preferences.

Nominal Income

Income figures that have not been adjusted for inflation, representing the amount of money earned in current dollars.

Quantity Demanded

The combined measure of a good or service that purchasers are eager and able to acquire at a predetermined price.

Buyer's Preferences

The individual tastes or desires that influence a consumer's purchasing decisions and the allocation of their budget across various goods and services.