An indifference curve cannot be positively sloped because
A) the law of diminishing marginal utility would be violated.
B) the substitution effect would be violated.
C) a point to the right of another point will represent a lower quantity of both goods and a reduction in utility.
D) a point to the right of another point will represent a higher quantity of both goods and an increase in utility.
Answer: D
You might also like to view...
One way to estimate GDP is to:
A. add together the market value of only final goods sold in the economy and not services. B. measure the total expenditure of an economy. C. add together the market value of only final services sold in the economy. D. add up all the money people spend buying final and intermediate goods and services.
Suppliers with a high supply elasticity will bear a ______ tax incidence, while suppliers with a low supply elasticity will bear a ______ tax incidence
A) lower; higher B) higher; lower C) lower or no; higher or full D) A and C
The demand curve for Japanese yen will shift to the right when
A) there is a decrease in demand for Japanese-made goods in the United States. B) there is no change in the demand for Japanese-made goods in the United States. C) there is a decrease in the demand for U.S.-made goods in Japan. D) there is an increase in the demand for Japanese-made goods in the United States.
The current value of the marginal product of land influences the
a. demand for land. b. equilibrium rental price of land. c. equilibrium purchase price of land. d. all of the above.