A positive cross price elasticity of demand between two goods suggests that the goods are
A) not related.
B) complements.
C) substitutes.
D) both of unitary elasticity.
Answer: C
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When an economy experiences a recession there is
A) a rightward shift of the short-run Phillips curve. B) a leftward shift of the short-run Phillips curve. C) no change in the short-run Phillips curve. D) a downward movement along the short-run Phillips curve. E) an upward movement along the short-run Phillips curve.
"The line distinguishing external from internal goals can be fuzzy." Discuss
What will be an ideal response?
In which of the following market structures does free entry and exit play an important role in the long-run equilibrium outcome? (i) perfect competition (ii) monopolistic competition (iii) monopoly
a. (i) only b. (i) and (ii) only c. (ii) and (iii) only d. (i), (ii), and (iii)
Based on the circular flow model, money flows from households to businesses in:
A. factor markets. B. product markets. C. neither factor nor product markets. D. both factor and product markets.