An increase in demand could arise from which of the following factors
a. an increase in income
b. a decrease in the price of a substitute
c. an increase in the price of a complement
d. all of the above
a
You might also like to view...
Use the following graphs to answer the next question.
In the graphs, the numbers in parentheses near the AD1, AD2, and AD3 labels indicate the level of investment spending associated with each curve, respectively. All numbers are in billions of dollars. The interest rate and the level of investment spending in the economy are at point C on the investment demand curve. To achieve the long-run goal of a noninflationary, full-employment output of Qf in the economy, the Fed should try to ________.
A. decrease aggregate demand by increasing the interest rate B. increase aggregate demand by increasing the interest rate C. make no change in the interest rate D. increase aggregate demand by decreasing the interest rate
Personal consumption expenditures is the smallest component of total spending
a. True b. False Indicate whether the statement is true or false
A company's net present value:
A. is the current value of the company’s expected future cash flows. B. is a measure of the book value of that company. C. tells you the "correct" price of shares in the company. D. adds up the value of all the assets a company currently owns.
The long-run supply curve of a market for eggs is perfectly inelastic
Indicate whether the statement is true or false