The current demand for automobiles would decrease if
a. the price of gasoline fell.
b. consumer income rose.
c. consumers suddenly believed the price of automobiles would be sharply lower in the near future.
d. consumers suddenly believed the price of automobiles would be sharply higher in the near future.
C
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A lighthouse is a public good
A) because it doesn't cost any more to light the way for 105 ships than it does to light the way for 104 ships, but for no other reason. B) because there is no way to prevent those who haven't contributed to the lighthouse from seeing better because of it, but for no other reason. C) because the government produces it, and for no other reason. D) for the reasons in A and B together. E) for the reasons in A, B, and C together.
Disinflation is a
a. reduction in the price level, whereas deflation is a reduction in the rate of inflation. b. reduction in the rate of inflation, whereas deflation is a reduction in the price level. c. slow reduction in the price level, whereas deflation is a rapid reduction in the price level. d. rapid reduction in the price level, whereas deflation is a slow reduction in the price level.
Which of the following is one of the reasons economists sometimes differ in their views on social policy?
A. Different models focus on the same aspects of a problem. B. Economists' subjective value judgments will differ. C. Empirical evidence is so precise that there is little room for different interpretations. D. Most so-called economists have received no formal training.
Another way of saying "ceteris paribus" is:
A. Other things equal B. In general C. In reality D. Because of this