At very low levels of disposable income, the greatest likelihood is that
A. autonomous consumption will be greater than induced consumption.
B. induced consumption will be greater than autonomous consumption.
C. autonomous consumption will be about equal to induced consumption.
A. autonomous consumption will be greater than induced consumption.
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If a price ceiling is set above the equilibrium price in a market
A. rationing will be necessary. B. the quantity supplied will equal the quantity demanded. C. the quantity demanded will exceed the quantity supplied. D. surpluses of the commodity will develop.
The congestion tax implemented in London reduced traffic volume and cut travel time for cars and buses in half
Indicate whether the statement is true or false
If the indifference curves between two goods are L-shaped, the goods are
A) complementary goods. B) substitute goods. C) normal goods. D) inferior goods.
The mix of stocks and bonds a firm uses to raise funds is called:
A) diversification B) capital structure C) market value D) asset management