Assuming coffee and tea are substitutes, a rise in the price of coffee will have which of the following effects on the market for tea?
a. A movement up along the tea demand curve.
b. A movement down along the tea demand curve.
c. A leftward shift in the tea demand curve.
d. A rightward shift in the tea demand curve.
d
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In the demand-supply graph for a good, a price floor can be illustrated by a vertical line segment
a. True b. False Indicate whether the statement is true or false
Which of the following statements is? true?
A. The longer any price change? persists, the greater the elasticity of demand. B. The closer the substitutes for a particular commodity and the more substitutes there? are, the more inelastic will be its price elasticity of demand. C. The smaller the share of a? person's total budget that is spent on a? commodity, the greater that? person's price elasticity of demand is for that commodity. D. The demand for necessities is likely to be? elastic, while the demand for luxuries is likely to be inelastic.
Use the figure below, which shows a linear demand curve and the associated total revenue curve, to answer the question.
The maximum possible total revenue is $________.
A. 11,000 B. 10,500 C. 11,500 D. 12,500 E. 12,000
If the demand for U.S. dollars goes up, the exchange rate will.
A) increase and, as a result, net exports in the United States will decrease. B) decrease and, as a result, net exports in the United States will increase. C) increase and, as a result, net exports in the United States will increase. D) decrease and, as a result, net exports in the United States will decrease.