What happens to the demand for Xbox games if the price of an Xbox falls?
A) The demand for Xboxes decreases because the price of a substitute falls.
B) The demand for Xboxes increases because the price of a complement falls.
C) The demand for Xboxes decreases because the price of a complement falls.
D) The demand for Xboxes remains unchanged.
B
You might also like to view...
To fully analyze the effects of a tariff on imports of tomatoes, an economist needs
a. only to know the supply and demand curves in the market for tomatoes. b. only to know about supply and demand in the market for tomatoes and in markets for other products tomato farmers grow. c. to use general equilibrium analysis. d. to use a production possibilities curve.
The table above gives the production possibilities frontier for two countries, Anaconda and Bear. This table shows that
A) when Anaconda and Bear specialize and trade, Anaconda should specialize in the production of shoes. B) when Anaconda and Bear specialize and trade, Anaconda should produce at its production point E. C) Anaconda has an absolute advantage in the production of corn and shoes. D) Bear can consume no more than 2 bushels of corn and 700 pairs of shoes. E) Bear is unable to gain from trade with Anaconda.
The logit model can be estimated and yields consistent estimates if you are using
A) OLS estimation. B) maximum likelihood estimation. C) differences in means between those individuals with a dependent variable equal to one and those with a dependent variable equal to zero. D) the linear probability model.
Economic profit is greater than or equal to accounting profit
a. True b. False Indicate whether the statement is true or false