A decrease in price causes:
A. a price effect, which is an increase in revenue that results from receiving a lower price for each unit sold.
B. a decrease in quantity demanded.
C. a quantity effect, which is an increase in revenue that results from selling fewer units of the good.
D. both a price effect and quantity effect.
Answer: D
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What will be an ideal response?
If finding the last stamp to complete your collection makes you even happier than finding the first, then your
a. marginal utility is zero b. marginal utility is negative c. total utility is decreasing d. total utility is constant e. marginal utility is not diminishing
Pat calculates that for every extra dollar she earns, she owes the government 33 cents. Her total income now is $35,000 . on which she pays taxes of $7,000 . Determine her average tax rate and her marginal tax rate
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Real wages increased in industrialized countries in the twentieth century because the demand for labor:
A. decreased, while the supply of labor increased. B. increased more slowly than the supply of labor increased. C. increased, while the supply of labor decreased. D. increased more rapidly than the supply of labor increased.