Assume that both the demand curve and the supply curve for DVD players shift to the left but the demand curve shifts more than the supply curve. As a result

A) both the equilibrium price and quantity of DVD players will decrease.
B) the equilibrium price of DVD players will decrease; the equilibrium quantity may increase or decrease.
C) the equilibrium price of DVD players may increase or decrease; the equilibrium quantity will decrease.
D) the equilibrium price of DVD players will increase; the equilibrium quantity may increase or decrease.


A

Economics

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Use the figure below to answer the following question. The case of substitute goods is represented by figure

A. 1. B. 2. C. 3. D. 4.

Economics

As an investor, negative supply shocks are not attractive because ________

A) they tend to lead to lower productivity B) the real rental price of capital tends to decline driving rental incomes down C) with decreases in expected income, claims on those incomes also tend to fall leading to stock market downturns D) all of the above E) none of the above

Economics

If the price of an input falls, a firm would increase the use of that input for two reasons:

a. the input is now more productive, and the firm can substitute this input for other relatively more expensive inputs. b. the input is now more productive, and overall production costs are now lower, meaning a firm may choose to increase production. c. overall production costs are now lower and the firm can substitute this input for other relatively more expensive inputs. d. overall production costs are now lower and the firm will have more of other inputs to use with the one in question.

Economics

An overall rise in prices in the economy is called:

A. core inflation. B. core deflation. C. inflation. D. deflation.

Economics