A significant increase in the price of tennis balls will most likely lead to
A) an increase in the demand for tennis racquets.
B) an inward shift in the demand for tennis balls.
C) a movement along the demand curve for tennis racquets.
D) an inward shift in the demand for tennis racquets.
D
You might also like to view...
Look at the above figure. Suppose the economy was initially in equilibrium at point A. What point would represent the short-run equilibrium if the Fed makes an open market purchase of bonds?
A) A B) B C) C D) D
Increases in autonomous spending have an expansionary effect and make ________ levels of real income consistent with a given interest rate
A) lower B) higher C) constant D) none of the above.
The signaling theory of education suggests that when people earn a college degree they do not become more productive, but they do signal their high ability to prospective employers
a. True b. False Indicate whether the statement is true or false
You are responsible for purchasing 20 used computers for your company. Red Brand computers cost $1,250 and Green Brand computers cost $1,800. Based on experience, you believe that 60% of Red Brand computers are lemons (low quality) while 20% of Green Brand computers are lemons (low quality). You are willing to pay $1,000 for a known lemon and $2,000 for a known plum. Which brand do you purchase?
A. Red Brand B. Green Brand C. You are indifferent between brands. D. You don't buy either brand.