Firms should lower the prices on their goods
a. If the demand for the product is elastic
b. If it acquires a firm selling a complement good
c. If it acquires a firm selling a substitute good
d. Both a and b
d
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Which of the following is likely to cause a decrease in the wage rate and an increase in the employment level of a country?
A) A left shift in the demand curve for labor, without any change in the supply curve for labor B) A left shift in the supply curve for labor, without any change in the demand curve for labor C) A right shift in the supply curve for labor, without any change in the demand curve for labor D) A right shift in the demand curve for labor, without any change in the supply curve for labor
Individual income taxes generate roughly 25% of the tax revenue for the federal government
a. True b. False Indicate whether the statement is true or false
Refer to the above figure. The figure represents the consumption function for a consumer. Point B represents
A. autonomous consumption. B. positive saving. C. negative saving. D. zero saving.
If the dollar appreciates and foreign goods become less expensive, the total planned expenditures on domestic goods and services will
A. fall due to the open economy effect. B. increase due to the open economy effect. C. increase due to the interest rate effect. D. fall due to the interest rate effect.