All else constant, a large decrease in the number of people who want to own sport utility vehicles (SUVs) because of their poor fuel efficiency could be expected to cause:
A) an increase in the supply of SUVs.
B) a decrease in the equilibrium price of gasoline.
C) an increase in the equilibrium price of SUVs.
D) an increase in the supply of gasoline.
B
You might also like to view...
If d = the depreciation rate, n = the growth rate of the labor force, and k = the capital-labor ratio, which of the following expressions best describes break-even investment?
A) dnk B) (d - n)/k C) dk - nk D) (d + n)k
If at current exchange rates it was cheaper to buy a product in country A than country B, the purchasing power parity theory would increase the relative exchange value of country A's currency
a. True b. False Indicate whether the statement is true or false
Use the above figure. When the budget line rotates from "b" to "c"
A. more units of J and more units of K will be purchased. B. fewer units of J and fewer units of K will be purchased. C. more units of J and fewer units of K will be purchased. D. fewer units of J and more units of K will be purchased.
Some economists argue that Microsoft become a monopoly in the market for computer software by developing MS-DOS, an operating system used for the first IBM personal computers. The more people who used MS-DOS-based programs, the greater the usefulness of
a using a computer with an MS-DOS operating system. The explanation for Microsoft's monopoly is A) the development of new technology that other firms could not copy. B) control of a key resource which, in this case, is the MS-DOS operating system. C) network externalities. D) patents Microsoft obtained when it developed the MS-DOS operating system.