If an Engel curve has a positive slope
A) both goods are normal.
B) the good on the horizontal axis is normal
C) as the price of the good on the horizontal axis increases, more of both goods in consumed.
D) as the price of the good on the vertical axis increases, more of the good on the horizontal axis is consumed.
B
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The Smoot-Hawley Tariff Act of 1930 is thought to have contributed to the severity of the 1930s depression because of the rise in tariff rates and the consequential drop in private consumption, savings and investment
Indicate whether the statement is true or false
The income elasticity of demand for a good that is extremely necessary for the existence of its consumers is close to zero
a. True b. False Indicate whether the statement is true or false
The fastest growing productivity increases in the United States have occurred in the personal services sector.
Answer the following statement true (T) or false (F)
Other things held constant, the lower the price of a good
A. the higher the supply. B. the lower the producer surplus. C. the greater the producer surplus. D. the lower the supply.