The change in the price of one good has no effect on the quantity demanded of another good. These goods are:
A) complements.
B) substitutes.
C) both inferior.
D) both Giffen goods.
E) none of the above
E
You might also like to view...
When a positive externality exists, _______________________ and thus _______________ intervention may be needed to achieve efficiency
A) external costs are necessarily greater than private costs; government B) social costs equal private costs; no government C) social costs are less than private costs; government D) social costs are greater than private costs; government E) none of the above
By selecting a bundle where MRS = MRT, the consumer is saying
A) "I value my last unit of each good equally." B) "I am willing to trade one good for the other at the same rate that I am required to do so." C) "I will equate the amounts spent on all goods consumed." D) All of the above.
Refer to the information provided in Figure 6.10 below to answer the question(s) that follow.
Figure 6.10Refer to Figure 6.10. The current price of a turkey sandwich is $8. If Kyle is currently buying seven turkey sandwiches a week, he ________ maximizing utility because the marginal utility ________ than its price.
A. is not; gained from the seventh sandwich is less B. is; from the seventh sandwich is less C. is; from the seventh sandwich is greater D. is not; gained from the seventh sandwich is greater
________ motivates charitable giving because individuals value helping others
A) Pure altruism B) Rationalism C) Impure altruism D) Consumerism