The fact that when the price of a good goes down, people buy more of it is called
A. the law of supply.
B. the law of demand.
C. ceteris paribus.
D. market equilibrium.
Answer: B
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An increase in the market interest rate, other things equal, will _____
Fill in the blank(s) with the appropriate word(s).
If the 4 largest cell service providers sales make up 56% of total sales in the entire industry, then the industry is considered to be
A. an oligopoly. B. perfectly competitive. C. monopolistically competitive. D. a monopoly.
Which of the following statements, ceteris paribus, accurately describes the impact of government spending on aggregate demand?
a. A decrease in government spending will decrease aggregate demand. b. Aggregate demand rises with falling government spending. c. Aggregate demand falls with stable government spending. d. A decrease in government spending will stabilize aggregate demand.
Which of the following best describes an economy with full employment?
A. "Full employment occurs only when the economy has a zero percent unemployment rate." B. "No person is unemployed for whatever reason." C. "The level of unemployment that corresponds to the normal friction in the labor market." D. "Everyone who is looking for a job will have one."