Hold Jared's preferences for pizza and Pepsi constant. Suppose Jared's income, as well as the prices of pizza and Pepsi, double. As a result,
a. both Jared's indifference curves and his budget constraint change.
b. Jared's indifference curves change, but his budget constraint does not change.
c. Jared's budget constraint changes, but his indifference curves do not change.
d. neither Jared's indifference curves nor his budget constraint change.
d
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When the value of a currency is determined ________, the exchange rate system is defined as a floating exchange rate system
A) by its issuing government, with occasional readjustments in value B) only by supply and demand C) by its issuing government D) mostly by supply and demand, but with occasional government intervention
Price elasticity of demand is the responsiveness of
A) the quantity demanded to a change in price. B) demand to a change in supply. C) demand to a change in income. D) demand for a good to a change in the demand for another good.
To decrease buyer power, the firm can
a. Differentiate its product b. Decrease dependency on a single buyer c. Sell its products in locations with multiple buyers d. All of the above
The Federal Trade Commission:
a. was abolished by the Celler-Kefauver Act. b. was established when the Antitrust Division of the Justice Department was eliminated. c. largely deals with utility regulation. d. is a weak and ineffective government agency. e. investigates unfair and deceptive trade practices.