The above figure shows the market for french fries at fast food joints. If the price of potatoes rises and simultaneously people become concerned that french fries can cause heart attacks the
A) demand curve for french fries shifts from D2 to D1 and the supply curve of french fries does not shift.
B) demand curve for french fries shifts from D2 to D1 and the supply curve of french fries shifts from S2 to S1.
C) demand curve for french fries shifts from D2 to D1 and the supply curve of french fries shifts from S1 to S2.
D) demand curve for french fries does not shift, and the supply curve of french fries shifts from S1 to S2.
B
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A quasi-public good differs from a public good in that unlike a public good, it is possible to keep those who do not pay for the quasi-public good from enjoying the benefits of the good
Indicate whether the statement is true or false
What has happened to health care's share of gross domestic product in the United States since 1965? How does this compare to what has happened to out-of-pocket spending on health care as a percentage of all spending on health care?
What will be an ideal response?
The demand for durable goods tends to be more price elastic than the demand for non-durables
a. true b. false
If the prices of A, B, and C are $2, $3, and $1, respectively, and the consumer has $26 to spend on these three products, what combination of the three products should be purchased in order to maximize utility?
Columns 1 through 3 in the table below show the marginal utility which a particular consumer would get by purchasing various quantities of products A, B, and C.
