Which of the following does the law of demand specifically imply?
a. If the product price increases, quantity demanded will decrease.
b. If consumer income increases, quantity demanded will increase.
c. If the product price increases, quantity demanded will increase.
d. If consumer income increases, quantity demanded will decrease.
e. If supply increases, demand will increase.
A
You might also like to view...
Suppose that an increase in capital per hour worked from $15,000 to $20,000 increases real GDP per hour worked by $500
If capital per hour worked increases further to $25,000, by how much would you expect real GDP per hour worked to increase if there are diminishing returns? A) by less than $500 B) by more than $500 but less than $5,000 C) by exactly $500 D) by more than $5,000 but less than $20,000
Discount rates are __________ every two weeks by the directors of each regional Federal Reserve Bank but are __________ by the Board of Governors
A) determined; established B) established; determined C) recommended; established D) determined; recommended
Which idea is inconsistent with perfect competition?
A. price-taking behavior B. a large number of buyers and sellers C. product differentiation D. freedom of entry or exit for firms
One reason trade restrictions exist is that:
A. workers cannot be shifted easily from one industry to another. B. the long-run gains from free trade are small relative to the short-run costs. C. the short-run gains from free trade are small relative to the long-run costs. D. workers can be shifted easily from one industry to another.