Which of the following is TRUE?
A) For an inferior good, when income increases, the demand curve shifts leftward.
B) The demand curve for a good shifts leftward when the price of a substitute rises.
C) If consumers expect the price of a good will rise in the future, the demand curve shifts leftward.
D) An increase in population shifts the demand curve for most goods leftward.
A
You might also like to view...
If the long-run industry supply curve in a perfectly competitive market slopes upward, then very likely input prices will ____ as industry output expands
a. increase b. decrease c. remain constant d. first increase and then decrease
According to the text, which of the following does the United States export?
A. Cars, cigarettes, corn, and farm equipment, but not education. B. Cars, cigarettes, corn, farm equipment, and services. C. Lumber but not farm equipment. D. Cars and cigarettes but not corn.
What term is defined as the change in the amount consumers will buy because the purchasing power of their money changes?
a. consumer taste b. consumer expectation c. income effect d. substitution effect
Keynesian policy levers include:
A. Deregulation. B. Fiscal policy. C. Supply-side policy. D. Laissez-faire policy.