Select the graph above that best shows the change in the market specified in the following situation: In the market for leather coats, when leather coats become more fashionable among young consumers.
a. Graph A
b. Graph B
c. Graph C
d. Graph D
Answer: a. Graph A
You might also like to view...
Use the following graph to answer the next question. 
If the industry were perfectly competitive, then the market price would be ________.
A. $20, which is lower than what the price would have been if the industry were a pure monopoly B. $25, which is lower than what the price would have been if the industry were a pure monopoly C. $25, which is higher than what the price would have been if the industry were a pure monopoly D. $20, which is higher than what the price would have been if the industry were a pure monopoly
Refer to Figure 13-11. What is the allocatively efficient output for the firm represented in the diagram?
A) Q1 units B) Q2 units C) Q3 units D) Q4 units
Ceteris paribus, which of the following would you expect to have no effect on the demand curve for new automobiles?
A. An increase in the price of new automobiles. B. A rise in the price of gasoline. C. Consumer expectations that the price of new automobiles will be lower next year. D. Consumer expectations that a significant recession will develop and last for a year.
Darcy sells a government security worth $4,600,000 to the Federal Reserve Bank of Kansas City. She deposits these funds in her checking account to the First Commerce Bank. Her checking account had a $150,000 balance before the sale of the security. The reserves of the First Commerce Bank would:
A. increase by $4,750,000. B. increase by $4,600,000. C. decrease by $4,450,000. D. decrease by $4,600,000.