Final answer:
The income effect likely dominates for Nicole in the wage range from 30 to 40, as higher wages enable individuals to maintain the same income with less work, thus preferring more leisure, similar to the examples of Vivian and Petunia.
Step-by-step explanation:
The question 'For Nicole, does the income effect dominate the wage range from 30 to 40?' is asking whether an increase in wages influences Nicole to enjoy more leisure time or continue increasing her work hours. In the context given, the statement is typically addressing the concept of the income effect in labor economics. It is a comparison between the income effect and the substitution effect of a wage increase. From the information provided, it appears that when wages increase, individuals, characterized by Vivian and Petunia, may opt for more leisure since higher wages allow one to maintain the same level of income while working fewer hours. Hence, if Nicole behaves like Vivian and Petunia, and prefers more leisure when her income allows, we would conclude that the income effect dominates for Nicole in the wage range from 30 to 40. Since the information suggests that the preference for leisure overcomes the incentive to work more hours at higher wages, the response to the question is '1) True.'
The information provided is not sufficient to determine whether the income effect dominates the wage range from 30 to 40 for Nicole. The income effect typically refers to the impact of a change in income on the quantity demanded for a good or service. The question seems to be related to a specific economic or financial context, and without additional details, it's not possible to ascertain the dominance of the income effect in this wage range for Nicole. More information about Nicole's preferences, behavior, and economic circumstances would be needed to provide a meaningful answer.