Refer to the information provided in Figure 12.4 below to answer the question(s) that follow.
Figure 12.4There are two sectors in the economy, X and Y, and both are in long-run, zero-profit equilibrium at the intersections of S0 and D0.Refer to Figure 12.4. Assume consumer preference changes toward X and away from Y. Ceteris paribus, the equilibrium price of X will ________ and the equilibrium price of Y will ________.
A. increase; increase
B. decrease; increase
C. decrease; decrease
D. increase; decrease
Answer: D
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In the knowledge economy
A) physical property rights appear to be lacking. B) property rights have become stronger. C) property rights have been replaced by network externalities. D) intellectual property rights appear to be lacking.
The MRT is
A. the marginal ring tone. B. the minimal rate of time. C. the maximum rate of transformation. D. none of these answer options are correct.
The investment function would shift outward to the right if
A. there was a decrease in business taxes. B. there was more uncertainty about future economic conditions. C. real disposable income decreased. D. interest rates decreased.
Increases in income from sources other than employment can cause the labor supply curve to shift to the left
a. True b. False Indicate whether the statement is true or false