Given that firms change their prices infrequently, a business that has just raised its price will have a __________ relative price; over time as its price remains fixed its relative price __________
Fill in the blank(s) with correct word
higher, falls
Economics
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If the cross-price elasticity of demand between two goods is -1.2, then the two goods are:
A. substitutes. B. complements. C. inferior. D. elastically demanded.
Economics
The same factors that lead to a change in quantity demanded also cause a change in demand.
a. true b. false
Economics
Which of the following defines monopolization?
A) the Securities and Exchange Commission B) the Federal Reserve C) U.S. Supreme Court D) Federal Trade Commission Act
Economics
Imperfect competition and market power
A. are always the result of product differentiation. B. result from diseconomies of scale. C. result in higher output than in perfect competition. D. are major sources of inefficiency.
Economics