We say that goods are substitutes when they:
A. serve similar-enough purposes that a consumer might purchase one in place of the other.
B. are consumed together, so that purchasing one will make a consumer more likely to purchase the other.
C. can replace something consumers typically purchase at a significantly lower price.
D. change a consumer's preferences for a good or service.
A. serve similar-enough purposes that a consumer might purchase one in place of the other.
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The production of capital is a form of roundabout production
a. True b. False
Deadweight loss measures the loss in society's welfare that occurs because a monopolist does not produce the socially efficient level of output
a. True b. False Indicate whether the statement is true or false
If there is a surplus in the market for loanable funds, the resulting change in the real interest rate
a. reduces both the quantity of loanable funds supplied and the quantity of loanable funds demanded. b. reduces the quantity of loanable funds supplied and raises the quantity of loanable funds demanded c. raises both the quantity of loanable funds supplied and the quantity of loanable funds demanded. d. raises the quantity of loanable funds supplied and reduces the quantity of loanable funds demanded.
D. One-half of the nondiversifiable risk of the asset with a beta of 1.5
A. 0 B. 1.0 C. 100 D. Any value