What can explain the fact that DVD players decreased in price during the 1990s even as more DVD players were being sold?
A) The demand for DVDs was declining.
B) The supply of DVD players was decreasing.
C) The supply of DVD players was increasing more than the demand for DVD players.
D) The demand for DVD players was increasing more than the supply of DVD players.
C
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Which of the following describes the difference between the market demand curve for a perfectly competitive industry and the demand curve for a firm in this industry?
A) The market demand curve is downward sloping; the firm's demand curve is a vertical line. B) The market demand curve is downward sloping; the firm's demand curve is a horizontal line. C) The market demand curve is a horizontal line; the firm's demand curve is downward sloping. D) The market demand curve can not have a constant slope; the firm's demand curve has a slope equal to zero.
Economies of scale occur when a firm's long-run average total cost curve is:
A. vertical. B. horizontal. C. downward-sloping. D. upward-sloping.
How can autonomous consumption be greater than zero when income is zero?
What will be an ideal response?
In classical IS-LM analysis, the effects of a decline in desired investment include
A. an increase in the price level. B. a decline in the real interest rate. C. an increase in unemployment. D. a decline in output.