If computers and software are complements, then
A) a fall in the price of computers will increase the demand for software and, ceteris paribus, the price of software will rise.
B) a rise in the price of computers will decrease the demand for software and, ceteris paribus, the price of software will rise.
C) a fall in the price of computers will decrease the demand for software and, ceteris paribus, the price of software will fall.
D) a rise in the price of software will increase the demand for computers and, ceteris paribus, the price of computers will rise.
E) a fall in the price of software will decrease the demand for computers and, ceteris paribus, the price of computers will fall.
A
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Producer surplus is always the total area below the price and above the supply curve
a. True b. False Indicate whether the statement is true or false
As the price level rises, people feel wealthier and aggregate demand increases
Indicate whether the statement is true or false
Most voters will likely be concerned with
a. most issues since most issues have some impact, however slight, on each citizen. b. only a few special issues (those that exert the most impact on the voters' personal welfare). c. most issues since information on most issues can be obtained at a low cost. d. the views of a particular political candidate on all issues.
Refer to the diagram for a private closed economy. Unplanned changes in inventories will be zero:
A. only at the $300 level of GDP.
B. only at the $200 level of GDP.
C. at all levels of GDP.
D. only at the $400 level of GDP.