Suppose most consumers who eat hotdogs also use mustard, a complementary good. If the price of hotdogs rises, which is most likely to happen?
A) The demand curve for mustard will shift right.
B) The demand curve for hotdogs will shift right.
C) The demand curve for mustard will shift left.
D) The demand for hotdogs will fall.
C
You might also like to view...
Which of the following will tend to result in more proven oil reserves?
A) rising oil prices B) development of oil substitutes C) conservation measures D) all of the above
In sequential games,
a. Players take turns, and each player observes what his or her rival did before having to move b. Players take turns, but each player does not observe what his or her rival did before having to move c. Players move at the same time d. None of the above
In the short run, perfectly competitive firms
a. always earn an economic profit b. never earn an economic profit c. always invest more in order to earn more d. never suffer an economic loss e. can earn an economic profit
Voluntary trade promotes economic progress because
a. it discourages businesses from seeking lower per-unit costs through adoption of mass production methods. b. it discourages trade based on the comparative advantage of suppliers. c. it moves goods, services and resources from people who value them less to individuals who value them more. d. This is a trick question; voluntary exchange does not promote economic progress.