Suppose we observe that the demand for eggs increases when people buy more cheese. We can conclude that eggs and cheese are

A. normal goods.
B. inferior goods.
C. complements.
D. substitutes.


Answer: C

Economics

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Refer to the table below. If the senior manager learns that either a Good or Poor market will exist when the drug is introduced to the market, which drug should the senior manager not pursue?


The senior manager of Rx Pharmaceuticals needs to decide which of three drugs the company should consider developing. The estimated profit for each of the drugs differs depending on the market conditions when the respective drugs are introduced to the market. The above table summarizes the estimated profit for each drug under each of the three market conditions; Good, Fair, and Poor.

A) Drug A
B) Drug B
C) Drug C
D) none of the drugs

Economics

The argument that the minimum wage law has significantly increased teenage unemployment is not supported by recent statistical analysis

a. True b. False Indicate whether the statement is true or false

Economics

When the housing bubble popped, the effect of the negative demand side shock and the negative supply side shock were the same on:

A. output, causing it to definitely decrease. B. prices, causing them to definitely rise. C. output, causing it to definitely increase. D. prices, causing them to definitely fall.

Economics

Which of the following is one of the functions of rental prices?

A. to ration the use of existing housing for current consumers B. to signal to the local government when taxes on rental units should be increased C. to redistribute income from renters to landlords D. to redistribute income from landlords to renters

Economics