Alan purchases 10 percent fewer bags of chips when his income decreases by 5 percent. Based on only this information, we know that for Alan

A) chips are a normal good.
B) chips are a complement to salsa.
C) chips are a substitute for pretzels.
D) chips are an inferior good.
E) the price of chips fell.


A

Economics

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A) remains unchanged; increases B) rises; increases C) might rise, fall, or remain unchanged; increases D) falls; increases E) might rise, fall, or remain unchanged; decreases

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Control of monetary policy rests with

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What will be an ideal response?

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The barrier to entry protecting cable companies is primarily

A. ownership of a scarce factor of production. B. network effects. C. economies of scale. D. patents.

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