Ceteris paribus, if buyers expect the price of airline tickets to fall in the future, then right now there should be
A. A decrease in the supply of airline tickets.
B. No change in the supply of or demand for airline tickets because the price is not changing right now.
C. An increase in the demand for airline tickets.
D. A decrease in the demand for airline tickets.
Answer: D
You might also like to view...
Based on the figure below. Starting from long-run equilibrium at point C, a tax increase that decreases aggregate demand from AD1 to AD will lead to a short-run equilibrium at point ________ and eventually to a long-run equilibrium at point ________, if left to self-correcting tendencies.
A. D; C B. D; B C. A; B D. B; C
The above figure illustrates the demand curve for a good. The good has
A) no substitutes. B) only one substitute. C) only a few substitutes. D) many substitutes.
In a pizza industry, the cost of the factory is a(n) __________ only in the short run but not in the long run.
Mexico sends the United States over ______ percent of its exports.
A. 20 B. 40 C. 60 D. 80