Referring to the Economics in Practice on page 320: A successful celebrity endorsement of a product will most likely ________ for the product, resulting in a higher equilibrium price and a larger equilibrium quantity.
A. increase the supply
B. decrease the demand
C. decrease the supply
D. increase the demand
Answer: D
You might also like to view...
High inflation helps people store wealth over time, which helps them to be able to smooth out their consumption over their lifetimes
Indicate whether the statement is true or false
The players in a game theory situation often do not act in their joint interest because of which of the following?
A) They do not realize the benefit of cooperation. B) Players strive to minimize their opponents' profits. C) Players do not understand the game and its payoffs. D) It is not in each player's self-interest to cooperate. E) Players understand the game but they do not know which action(s) will benefit their joint interest.
Policymakers utilize gross domestic product figures
a. to monitor recessions and expansions. b. as a means to measure welfare. c. to observe long-run growth trends. d. Both a and c e. All of the above
A prisoner's dilemma problem can be solved by _____
a. the parties are kept from communicating with each other. b. a third party enforced their cooperation c. the parties were not guilty of the crime d. giving the parties sufficient time to arrive at the social beneficial decision