The CB radio was very popular in the 1970s and 1980s for communicating while driving. People bought them because other drivers had them too and they could therefore talk with many others on their trips. This illustrates
A) that the demand curve for CB radios was inelastic.
B) the network effect.
C) that CB radios and gasoline are complementary goods.
D) the effects of mobile phones on the demand curve for CB radios.
B
You might also like to view...
The more substitutes available for a product, the
A) larger is its price elasticity of demand. B) smaller is its income elasticity of demand. C) smaller is its price elasticity of demand. D) larger is its income elasticity of demand.
Organizational structure forms evolved based on
A) new theories of management. B) the ability of new forms to add accounting profits. C) the ability of new forms to cover the cost of capital. D) the ability of new forms to add value.
When the Fed lowers the legal reserve requirement, it
a. lowers the cost of borrowing from the Fed, allowing banks to make more loans b. raises the cost of borrowing from the Fed, disallowing banks from making the same quantity of loans c. increases the amount of excess reserves that banks hold, allowing them to make more loans d. increases the amount of excess reserves that banks hold, disallowing them from making the same quantity of loans e. decreases the amount of excess reserves that banks hold, disallowing them from making the same quantity of loans
In which of the following ways, banks began in Italy and England?
a. Monarchs were the first bankers, lending out cash at zero interest to help the poor learn a craft and develop themselves intellectually. b. Churches were the first bankers, lending out cash to help the poor learn a craft and develop independence. c. Goldsmiths were the first bankers, and the paper receipts they issued for gold held on deposit became valued as money. d. Fishermen were the first bankers, and the paper receipts they issued for the fish they stored in the holds of their ships became valued as money.