To remain in consumer optimum
A) a price increase requires an increase in consumption.
B) a price decrease requires an increase in consumption.
C) a price decrease requires a decrease in consumption.
D) prices must remain static.
Answer: B
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If Tom threatens to tell, what would Sarah's best response be?
a. Hit b. Not hit c. Run d. Hide
Which of the following pairs is the best example of complements?
a. milk and cheese b. coffee and tea c. CDs and audio tapes d. hiking boots and athletic shoes e. bagels and cream cheese
China has 20 percent of the world's population and 10 percent of the world's farmable land. Which of the following will be predicted by the Heckscher-Ohlin theory if China begins to trade with other countries?
A. China will export capital-intensive goods like automobiles and import labor-intensive goods like clothing. B. China will export land-intensive goods like wheat and import labor-intensive goods like clothing. C. China will shift resources into the production of agricultural goods and away from manufactured goods. D. China will shift resources from the production of agricultural goods to the production of labor-intensive goods.
Governments do all of the following except:
A. demand goods and services from businesses in the goods market. B. demand labor services from households in the factor market. C. supply labor services to businesses in the factor market. D. oversee the interaction of households and businesses in the goods and factor markets.