Luke is a retailer who has limited display space that he must use to optimal effect. As he designs his cola display, he keeps in mind that a new tax is about to be added to cola products. If his store reflects the overall market, how should this knowledge influence his display?
a. He should make the display larger because more cola will be sold.
b. He should leave his display the same size because the same amount of cola will be sold.
c. He should make the display smaller because less cola will be sold.
d. He should remove the display because cola can no longer be sold.
c. He should make the display smaller because less cola will be sold.
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Other things remaining unchanged, which of the following is most likely to cause an increase in the demand for personal computers?
a. A reduction in the price of personal computers b. An increase in the supply of personal computers c. An increase in the cost of computer printing ink d. An increase in the number of computer manufacturers e. A requirement by universities that all students buy personal computers
Which of the following is most likely to shift the demand curve for electricity to the left?
A. consumers becoming more energy conscious. B. an increase in income. C. a decrease in the price of electricity. D. an increase in the price of natural gas, a substitute source of energy.
Under Special 301, what is the U.S. government required to do?
What will be an ideal response?
Refer to the given data. The marginal propensity to save:
Answer the question on the basis of the following consumption schedules. DI signifies disposable income and C represents consumption expenditures. All figures are in billions of dollars.
A. is highest in economy (1).
B. is highest in economy (2).
C. is highest in economy (3).
D. cannot be determined from the data given.