An increase in the desire to save by households will cause
A) a reduction in output.
B) a reduction in investment.
C) an increase in output.
D) no change in investment and no change in output.
A
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Which of the following is a barrier to entry?
A. Close substitutes B. Infrastructure costs C. Diminishing marginal returns D. Buyers' incomes
All inferior goods have upward-sloping demand curves.
Answer the following statement true (T) or false (F)
Based on the circular flow model, money flows from households to businesses in:
a. both factor and product markets. b. product markets. c. factor markets. d. neither factor nor product markets.
Colorado experiences a record snowfall during the winter season. What impact will this have on the market for snowmobiles?
a. The supply of snowmobiles will increase and the price of snowmobiles will increase. b. The supply of snowmobiles will increase and the price of snowmobiles will fall. c. The demand curve for snowmobiles will decrease and the price of snowmobiles will fall. d. The demand curve for snowmobiles will increase and the price of snowmobiles will rise.