Demand curves can be affected by the prices of related goods.
Answer the following statement true (T) or false (F)
True
You might also like to view...
Why are harder forms of liquor produced in "dry" counties in the U.S.?
A) Drinkers in dry counties only prefer liquor to beer and wine. B) Producers only prefer to drink liquor. C) Producers find liquor more efficient to produce, given the rules of the game. D) Trick question: No liquor is produced in "dry" counties.
An opportunity cost of economic growth is
A) essentially zero because economic growth leads to such large gains in the long run. B) the decrease in production of consumption goods in the present time period. C) decreased by the creation of capital goods rather than consumption goods. D) so high that places such as Hong Kong have had to do without it.
The degree of responsiveness of aggregate output to a price change declines as the:
a. rate of savings increases. b. economy approaches its maximum potential output. c. level of real GDP declines over time. d. the price elasticity of imports declines. e. the excess capacity of all the firms in the economy increases over time.
When a freely functioning market is in disequilibrium:
a. the government must set a price ceiling. b. the government must set a price floor. c. the price and quantities demanded and/or supplied change until equilibrium is established. d. it will continue to remain in disequilibrium. e. it will reach equilibrium at a very high/low price.