Your indifference curves for good X (horizontal axis) and good Y (vertical axis) are vertical lines because you do not gain any satisfaction from consumption of Y
As the price of X declines, the change in consumption of X is entirely composed of the: A) income effect.
B) substitution effect.
C) Giffen effect.
D) independent good effect.
A
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The demand for microwaves in a certain country is given by: D = 8,000-30P, where P is the price of a microwave. Supply by domestic microwave producers is: S = 4,000 + 10P. If this economy opens to trade while the world price of a microwave is $50, the domestic quantity demanded will be ________ and quantity supplied will be ________.
A. 6,500; 3,000 B. 5,000; 5,000 C. 6,000; 4,000 D. 6,500; 4,500
The Lehman Brothers bankruptcy triggered a financial panic that featured
a. an increase in Treasury interest rates and an increase in most other interest rates. b. an increase in Treasury interest rates and a decrease in most other interest rates. c. a decrease in Treasury interest rates and an increase in most other interest rates. d. a decrease in Treasury interest rates and a decrease in most other interest rates.
Required reserves:
A. Must be held at the regional Fed bank. B. Represent the dollars that a bank can lend. C. Are the minimum amount of reserves a bank is required to hold. D. Are equal to total reserves minus expected reserves
The supply of eggs comes from chickens. The price of eggs will decrease if
A) the supply of chickens decreases. B) the supply of eggs decreases. C) the price of chickens increases. D) the demand for eggs decreases.