Assume that the demand schedule for product C is downsloping. If the price of C falls from $2.00 to $1.75:
a. The demand for C will rise
b. A smaller quantity of C will be demanded
c. The demand for C will fall
d. A larger quantity of C will be demanded
Answer: d. A larger quantity of C will be demanded
You might also like to view...
Fixing up old houses requires plumbing and carpentry. Jack (who is a jack of all trades but is a master of none) is a decent carpenter and a decent plumber, but is not particularly good at either
He can fix up two houses in a year if he does all of the carpentry and plumbing himself. His wage is $50,000 per year. a. What is Jack's average total cost of fixing up two old houses? b. George is an excellent plumber and Harriet is an excellent carpenter. George can do all of the plumbing and Harriet can do all of the carpentry to fix up five houses per year. Each earns a wage of $50,000 per year. If George and Harriet work together and fix up five old houses each year, what is their average cost? c. What does this problem tell you about one of the sources of economies of scale?
The present value of $475 received 3 years in the future would be calculated as which of the following when the interest rate is 6 percent?
A) 475 × 1.6 × 3 B) 475/(1.6)3 C) 475/(1.06)3 D) 3.06/475
Which of the following is a possible budget reform?
a. a quarterly budget b. adding more line items to the budget c. a biennial budget d. none of the above would reform the budget process
Output growth is defined as the growth rate of output
A. per person in the economy. B. per worker in the economy. C. of the entire economy. D. for capitalist economies.