When the price of a normal good falls, consumers buy a larger quantity because of the ________ effect and the ________ effect
A) substitution; income
B) normal; inferior
C) substitute; complement
D) supply; demand
Answer: A
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Fiscal policy is the responsibility of ________
A) the Federal Reserve System B) the Comptroller of the Currency C) the President and U.S. Congress D) High Commissioner for Refugees
The Monetary Control Act of 1980:
a. allowed savings and loan associations to offer checking accounts. b. allowed more institutions to offer checking account services. c. created greater competition among various financial institutions. d. all of the above. e. none of the above.
The ownership of human capital
a. is typically embodied in related physical capital. b. may be subject to government restrictions on transferability. c. is not easily transferable. d. All of the above are correct.
Which of the following statements best describes the relationship between risk and the average expected return of investments?
A. Less risky assets will have similar average expected rates of return to more risky assets B. Less risky assets will have higher average expected rates of return than more risky assets C. More risky assets will have higher average expected rates of return than less risky assets D. More risky assets will have lower average expected rates of return than less risky assets