The commodity substitution bias is that
A) consumers decrease the quantity they buy of goods whose relative prices rise and increase the quantity of
goods whose relative price falls.
B) consumers substitute more expensive goods for less expensive goods when technology advances.
C) government spending is a good substitute for investment expenditures.
D) national saving and foreign borrowing are interchangeable.
E) consumers substitute high-quality goods for low-quality goods.
A) consumers decrease the quantity they buy of goods whose relative prices rise and increase the quantity of
goods whose relative price falls.
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In the Interstate Baking case discussed in this? chapter, scanner data showed that the products of Interstate and Continental Baking were close substitutes ?, so a merger would lead to higher prices .
In the Interstate Baking case discussed in this? chapter, scanner data showed that the products of Interstate and Continental Baking were
?, so a merger would lead to higher
How does the science of economics deal with the fact that we all have different values?
A) by assuming that values don't play a role in economic behavior B) by seeking to discover the sources of different value systems C) by using positive analysis D) by surveying the public to see what the most common values are, and then incorporating those as assumptions into their models
Explain the basic operations of an economic game
What will be an ideal response?
In ________ industries, a single firm has some control over the price of its output.
A. imperfectly competitive B. all C. only government-regulated D. perfectly competitive