question

"Steel tariffs will prevent job losses in the steel industry" is a positive statement

answer

True

question

"The unemployment rate should be higher" is a normative statement

answer

True

question

Opportunity cost means that if the United States spends $87 billion in the rebuilding of Iraq, it would have to forgo the opportunity to spend $87 billion on some other program

answer

True

question

The current rate of unemployment is 9%. The statement:

answer

is positive

question

Which statement is a normative statement?

answer

The best way to encourage growth in the economy is through government spending

question

Economists may disagree about policies because

answer

they may use different economic models

question

Microeconomics deals with

answer

Individual decision makers in the economy

question

Because the United States is a rich nation, free health care can be provided for all citizens without considering the issue of scarcity

answer

false

question

The primary emphasis in macroeconomics is on

answer

the national economy

question

Whenever a choice is made

answer

the cost of that choice could be referred to as opportunity cost

question

Khalil is offered a free ticket to the opera. His opportunity cost of going to the opera is

answer

whatever Khalil would have done had he not gone to the opera

question

Which option can best be considered the resources used in the production of computers?

answer

computer engineers

question

The opportunity cost of something is

answer

what is given up to acquire it

question

The problem of scarcity is confronted by

answer

all societies

question

Scarcity in economics means

answer

people do not have sufficient resources to produce all of the goods and services they want

question

Manny is attending college and majoring in economics. By doing so, Manny is primarily improving his

answer

human capital

question

You can spend $100 on either a new economics textbook or a new CD player. If you choose to buy the new economics textbook, the opportunity cost is:

answer

your enjoyment of the new CD player? because $100 is being spent either way

question

If the state government allocates additional spending on education, the opportunity cost is:

answer

measured in terms of the best alternative use for that money. i think. it isn't 'the dollar amount of the additional spending'

question

The current rate of unemployment of 9% is too high. This is a _____ statement.

answer

normative

question

Economists disagree more over normative economics than positive economics.

answer

true

question

Opportunity cost is:

answer

the value of the best alternative forgone in making any choice

question

The basic concern of microeconomics is:

answer

to study the choices people make

question

Macroeconomics deals with:

answer

the working of the entire economy or large sectors of it

question

When people are forced to make choices, they are facing the concept of

answer

scarcity

question

A high-school graduate who gets a college degree is adding to the economy's stock of

answer

human capital

question

Which is not an example of a resource?

answer

production

question

Which statements is a positive statement? Which is a normative statement? X. The federal minimum wage is increasing to $7.50 an hour. Y. The minimum wage should be high enough that families will not live in poverty.

answer

X is positive; Y is normative

question

Economists who are asked to choose between two different government policies may disagree because

answer

they base their conclusions on models that make different assumptions

question

If resources are "scarce", it means that they

answer

cannot provide enough goods or services to satisfy all human material wants and needs

question

Although fresh water is very abundant in most places, it is scarce because

answer

there is not enough of it to meet all needs

question

"Teachers in northern New Hampshire should earn more money" is a normative statement

answer

True

question

Economists disagree more over normative economics than positive economics

answer

False

question

In 2003, Congress passed a tax cut. Because taxes were reduced, the country did not incur any opportunity cost from this decision.

answer

False

question

The study of economics arises because of the necessity for choice, and the necessity for choice arises because of the fundamental problem of scarcity of resources

answer

True

question

The best measure of the opportunity cost of any choice is

answer

whatever you have given up to make that choice, even if no monetary costs are involved

question

The study of a single firm and how it determines prices would fall under the study of

answer

microeconomics

question

Which subject would be studied in macroeconomics?

answer

recessions

question

The latin phrase ceteris paribus means

answer

other things equal

question

The importance of an economic model is that it allows us to

answer

focus on the effects of only one change at a time

question

A simplified representation that is used to study a real situation is called

answer

a model

question

An economic model

answer

is a simplified version of reality used to understand real-world economic conditions

question

The circular-flow diagram illustrates how household how households ___ goods and service and ___ factors of production

answer

buy; sell

question

In building model, economists avoid making any assumptions that might leave out any aspect of reality

answer

False

question

If one group in the economy spends more, the incomes of other groups will increase

answer

True

question

In the product market, households spend money to buy goods and services

answer

True

question

Buying vegetables produced by local farmers' market benefits the local community because

answer

one person's local spending will increase another local person's income

question

A local grocery store benefits when a new furniture factory moves to town and hires workers because

answer

the new jobs at the new factory will increase local incomes, some of which will be spent at the local grocery store

question

In building models, economists avoid making any assumptions that might leave out any aspect of reality

answer

True

question

The basic principle of the circular-flow diagram is that the money flowing into each sector or market is greater than the money that flows out

answer

False

question

In the circular-flow diagram, an individual or a group of people (usually a family) who share their income would be called a

answer

household

question

The basic principle of the circular-flow diagram is that

answer

the flow of money into each market or sector is equal to the flow of money coming out of that market or sector

question

Within the circular-flow diagram, the factor market is the place where

answer

firms buy the resources they need for the production of goods and services

question

When a local factory closes, why does it spell bad news for the local restaurants?

answer

Unemployed factory workers have lower incomes and are less likely to dine out

question

If the value of homes in University City increases, and as a result, the people of University City spend more, incomes, in university City will

answer

increase

question

One person's spending is another person's

answer

income

question

Economic models are

answer

often useful in forming economic policy

question

The models that economists construct

answer

usually make simplifying assumptions

question

Economists create __ by applying specific assumptions to set of basic principles

answer

models

question

An economic model

answer

is a simplified version of reality used to understand real-world economic conditions

question

The simplest circular-flow model shows the interaction between households and firms. In this model:

answer

firms supply goods and services to households, which in turn supply factors of production to firms

question

In the simplest circular-flow model, households supply__ and demand __

answer

factors of production; goods and services

question

In the circular-flow diagram, the product market is where

answer

households buy goods and services

question

Within the circular-flow diagram, the market for goods and services is the place where

answer

households buy the products they want

question

Because one person's spending is another person's income

answer

if one group in the economy spends more, the incomes of other groups will increase

question

"I know when I shop at the local grocery store, I am helping my community." This statement best represents this economic concept:

answer

One person's spending is another person's income

question

In building models, economists often assume that opportunity costs don't matter

answer

false

question

If one group in the economy spends more, this increases their share of income and the incomes of other groups will decrease

answer

false

question

Labor and capital are the only two factors of production

answer

false

question

All points inside the production possibility frontier represent

answer

I put efficient production points... but it is not....it should be inefficient points

question

If an economy is producing a level of output that is on its production possibility frontier, the economy has

answer

I put no idle resources but is using resources inefficiently........ also it isn't ' it is idle resources but is using resources efficiently'... should be 'no idle resources but is using resources efficiently'

question

Suppose the student completes a speed reading course that allows him to do the same amount of studying in half as many hours. Which statement is now true of his opportunity costs?

answer

NOT the opportunity cost of studying has increased.......the opportunity cost of leisure has increased?

question

Point Z lies outside of the PPF. Point Z:

answer

is unattainable, all other things unchanged (it is not on the curve!* if it was then it could be attainable through growth of economy i think)

question

The effect of an increase in productive inputs such as labor and capital can be shown by

answer

NOT a point inside of the production possibility frontier. I think it is an outward shift of the PPF

question

The PPF will shift outward for which reason?

answer

NOT an upgrade of capital to the best available technology..... it possibly is a decrease in the unemployment rate... because with an increase in employment rate u have an increase in factors of production

question

On any given production PF, the minimum quantity of one good that can be produced for any given production of the other can be seen

answer

False

question

Suppose residents of Montana operate on their PPF and want to see increased wheat production as well as an increase in the production of flying-fish rods. According to the PPF, this cannot happen without new resources or technological improvement

answer

true

question

A typical, bowed-out PPF between two goods--guns and butter--shows that the opportunity cost of butter in terms of guns increases as more butter is produced. This implies that the opportunity cost of guns in terms of butter decreases as more guns are produced.

answer

false

question

The PPF that is a line sloping down from left to right would suggest that

answer

the opportunity costs of the goods are constant

question

If an economy has to sacrifice increasing amounts of good X for each additional unit of good Y produced, then its PPF is

answer

bowed out from the origin

question

An increase in efficiency means that an economy has

answer

made more people better off without making others worse off

question

Economists say an economy is efficient when

answer

all opportunities to make some people better off without making other people worse off have been taken

question

Assume an economy is operating on its PPF, which shows the production of military and civilian goods. If the output of military goods is increased, the output of civilian goods

answer

must decrease

question

Suppose Oklahoma decides to produce only two goods: oil and football helmets. If they are currently operating on their PPF, as oil production increases, the production of football helmets will

answer

decrease

question

The PPF illustrates

answer

the maximum quantity of one good that can be produced given the quantity of the other good produced

question

The __ illustrates the trade-offs facing an economy that produces only two goods

answer

PPF

question

An economy is efficient in product if it is

answer

I put ' possible to produce more of one good without producing less of another..... ' it is probably 'not possible to produce more of one good without producing less of another..... '

question

if an economy is producing at a point on its PPF

answer

NOT it is efficient in production and allocation....and it isn't 'it is not necessarily efficient in production or allocation' should maybe be efficient in production but not necessarily allocation?????

question

If an economy has to sacrifice only one unit of good X for each unit of good Y produced, regardless of the output mix, then its production possibility frontier has:

answer

NOT a decreasing neg slope... zero slope?

question

Examine the table Trade-off of Study Time and Leisure Time. A student sleeps 8 hours per day and divides the remaining time between study and leisure time. The table shows the combinations of study and leisure time that can be produced in the 16 waking hours of each day. Suppose this student is studying 4 hours and spending 10 hours doing leisure activities. What is true about this allocation of his scarce resources?

answer

NOT This point is both efficient and feasible. Maybe....inside? because he has 2 extra hours, not using all of his resources

question

The effect of a tremendous natural disaster can be shown by:

answer

NOT a point inside the PPF...... either inside or out... probably outside

question

A typical, bowed-out production possibility frontier between two goods—guns and butter—shows that the opportunity cost of butter in terms of guns increases as more butter is produced. This implies that the opportunity cost of guns in terms of butter decreases as more guns are produced.

answer

false

question

Technological improvements will

answer

shift the PPF outward

question

SHifting a curve to the right implies

answer

economic growth

question

The economy's factors of production are not equally suitable for producing different types of goods. This notion generates

answer

the law of increasing opportunity cost

question

A PPF illustrates the __ facing an economy that __ only two goods

answer

trade-offs; produces

question

Consider a production PF for Iraq. If in 2014 Iraq's resources are not fully utilized, Iraq will be somewhere ___ of its production PF.

answer

inside

question

The production PF illustrates that

answer

if all resources of an economy are being used efficiently, more of one good can be produced only if less of another good is produced

question

An economy is efficient in production if it is

answer

not possible to produce more of one good without producing less of another

question

If a student decides to consume one additional hour of leisure time how many hrs of study must he give up

answer

1

question

The law of demand states that other things equal

answer

as the price increases, the QUANTITY demanded will decrease

question

which statement best describes the law of demand?

answer

As the price of a DVD rises, fewer DVDs are rented

question

If goods A and Z are complements, an increase in the price of good Z will

answer

decrease demand for A

question

Assuming that ice cream is a normal good, which statement could cause an increase in the demand for ice-cream

answer

AN increase in the price of substitutes for ice cream such as frozen yogurt (if thats gonna be more expensive hellll naw u want ice-cream!!!!!!)

question

Raclette is a popular wintertime dish in Switzerland. It is essentially melted Raclette cheese over boiled new potatoes. If the price of Raclette cheese decreased, there should be:

answer

It is not an increase in demand for Raclette cheese and for new potatoes...... just an increase demand for cheese i think

question

If coconuts are a normal good and consumers believe that the price of coconuts will rise significantly in the near future, it will be represented in the figure as a movement from:

answer

not C to A not B to E E to B?

question

An increase in demand for good X could be caused by a decrease in the price of X.

answer

False means that the demand curve shifted. Not that the quantity demanded rose or fell because of a change in price!!!

question

__ illustrates an inverse relationship between price and quantity

answer

a demand curve

question

when the demand curve slopes downward, it means that

answer

higher prices are associated with lower quantities demanded

question

a demand schedule is

answer

a table showing how much of a good consumers will buy at different prices

question

Which example illustrates the law of demand?

answer

consumers buy more computers because prices have fallen

question

A decrease in the price of a good will result in

answer

an increase in the quantity demanded

question

Which factor will result solely in a movement along the demand curve for a particular good?

answer

a change in the price of that good

question

The demand curve for season tickets for the Miami Dolphins is the graphical representation of how many season tickets consumers want to buy at any given price

answer

true

question

If coconuts are a normal good and the price of coconuts increases, it would be represented in the figure as a movement from

answer

B to A, meaning it goes from lower to higher on the demand curve. there is no shift

question

If goods A and B are substitutes, a decrease in the price of good B will

answer

decrease demand for good A

question

According to the law of demand, if the price of steak increases in Rhode Island, the demand for steak will decrease in Rhode Island.

answer

false ?!?!

question

An increase in income will always shift the demand curve to the right.

answer

false

question

a negative relationship between the quantity demanded of a good and its price is called the law of

answer

demand

question

a demand schedule is

answer

a table showing how much of a good consumers will buy at different prices

question

What is the different between quantity demand and demand

answer

A change in quantity demanded is a movement along the demand curve, and a change in demand is a SHIFT of the demand curve

question

A leftward shift of the demand curve shows that

answer

something has happened to cause a lower quantity demanded at every given price

question

If there is an increase in preference for coconuts, it will be represented as a movement from

answer

shift right

question

If there is a widely held expectation that prices of cotton will be higher next year, then

answer

the demand for cotton will increase TODAY

question

If community income increases, demand for taxis increase, and bus services decrease. Therefore

answer

taxi service is a normal good; bus service is an inferior good

question

A decrease in the price of a good will result in

answer

an increase in the quantity demanded

question

A rightward shift on the demand curve shows that

answer

something has happened to cause a higher quantity demanded at every given price

question

If coconuts are a normal good and the income level of consumers falls, it will be represented in the figure as a movement from

answer

shift to the left

question

Bangladesh produces much of the clothing worn in the United States because it can produce more clothes than the United States.

answer

false

question

The opportunity cost of producing 1 box of cell phones for Sweden is: (Sweden produces 100k herring and 10k cell phones; finland produces 50k herring and 10k cell phones)

answer

NOT 5 boxes of herring 0.1 becus 1/10? no it is either 10 or 0.2. i think 10, 100k/10k is 10...

question

Free trade between countries

answer

NOT will shift the domestic production possibility frontier to the right. Looking at figures 4-1, the points lie outside of the line

question

An economy is said to have a comparative advantage in the production of one good if it

answer

has the lowest opportunity cost for producing a particular good

question

Sweden has an absolute advantage in producing: (Sweden produces 100k herring and 10k cell phones; finland produces 50k herring and 10k cell phones)

answer

herring only

question

Nations can gain from trade with other nations even if they are less productive in all industries than the nations they trade with

answer

true

question

If the US is more productive than Mexico in all lines of production, then the US cannot benefit from trade with Mexico

answer

false

question

Which statement is true

answer

It is possible to have an absolute disadvantage in doing something but still have a comparative advantage in the same thing

question

An economy that has the lowest opportunity cost for producing a particular good is said to have:

answer

a comparative advantage in production of that good

question

Because of trade, a country may:

answer

consume outside its production possibility frontier

question

Gains from trade exist for:

answer

individuals, states, and countries

question

Individuals gain from trade because

answer

of specialization in production

question

Which book illustrates the advantages of specialization using an eighteenth-century pin factory?

answer

The Wealth of Nations, by Adam Smith

question

Examine the table Coffee and Salmon Production Possibilities II. This table shows the maximum amounts of coffee and salmon that Brazil and Alaska can produce if they just produce one good. Brazil has a comparative advantage in producing:

answer

coffee only

question

Examine the table Coffee and Salmon Production Possibilities II. This table shows the maximum amounts of coffee and salmon that Brazil and Alaska can produce if they just produce one good. Alaska has an absolute advantage in producing:

answer

neither coffee nor salmon

question

Finland has a comparative advantage in producing: (Sweden produces 100k herring and 10k cell phones; finland produces 50k herring and 10k cell phones)

answer

cell phones

question

The concept of comparative advantage is based upon:

answer

relative opportunity costs

question

Examine the table Comparative Advantage I. Sweden has a comparative advantage in producing:

answer

herring only

question

Finland has a comparative advantage in producing:

answer

cell phones only....

question

Finland has an absolute advantage in producing:

answer

neither cell phones nor herring

question

The table shows the maximum amount of fish and coconuts that Tom and Hank can produce if they produce only one good. Tom produces and consumes 9 fish and 2 coconuts, and Hank produces and consumes 3 fish and 2 coconuts. Now they decide to engage in trade. Which statement is incorrect?

answer

NOT After trade it is possible for Tom to consume 9 fish and 2.5 coconuts and for Hank to consume 3 fish and 2.5 coconuts. I think it is 'For both to become better off, each should specialize in the production of some good. However, because Hank is equally productive in both goods, it doesn't matter which good each specializes in.'

question

In one hour, the United States can produce 25 tons of steel or 250 automobiles. In one hour, Japan can produce 30 tons of steel or 275 automobiles. This information implies that:

answer

United States has a comparative advantage in the production of automobiles. because 25/250 is 0.1, which is lower than 30/275

question

This table shows the maximum amounts of coffee and salmon that Brazil and Alaska can produce if they just produce one good. Brazil has an absolute advantage in producing: (Brazil produces 40 coffee, 20 salmon; Alaska produces 20 for both)

answer

coffee only

question

Sweden has a comparative advantage in producing:

answer

herring only

question

In the local market for coffee, what would happen if Joyce's Java and Everyday Joe's coffee shops go out of business?

answer

The supply curve shifts to the left.

question

Over the past few years, the technology associated with producing flat-panel televisions has improved. This has led to a(n) _____ in the _____ flat-panel televisions.

answer

increase; supply of

question

Consider the supply curve for cotton shirts. An increase in the price of cotton will

answer

decrease the supply of cotton shirts

question

An improvement in the technology used to harvest coconuts (e.g., a faster, less expensive coconut picker) would be represented in the figure as a movement from:

answer

shift to right

question

Examine the figure Supply of Coconuts. If the prices of inputs (e.g., labor, fertilizer, and fuel) used to produce and transport coconuts increased, it would be represented in the figure as a movement from:

answer

shift left (if it decreases, shift to the right)

question

If the market for buffalo meat is in equilibrium, the price of buffalo meat will probably _____ in the near future.

answer

not change

question

The market equilibrium is found at the:

answer

price where quantity demanded equals quantity supplied.

question

Excess supply occurs when:

answer

price is above eq price

question

If the supply and demand curves intersect at a price of $14, then any price below that would result in:

answer

shortage

question

Given the initial equilibrium of S1 and D, any price lower than _____ will create pressure for the price to _____.

answer

2.50, rise

question

*** _____ illustrates a direct relationship between price and quantity.

answer

not ppf *** eq? supply curve?

question

A technological advance in the production of automobiles will:

answer

increase in supply of automobiles

question

An increase in supply of a good can result from:

answer

NOT a fall in the price of the good.

question

When the price of lamps increases, the:

answer

not quantity supplies decreases maybe just supply decreases

question

If the price of coconuts decreased, it would be represented in the figure as a movement from:

answer

NOT shift to the right perhaps moves from higher to lower on same line

question

Suppose the equilibrium price of good Y is $5 and the equilibrium quantity is 150 units. If the price of good Y is $12:

answer

excess supply of Y

question

Market equilibrium occurs when:

answer

there is no incentive for prices to change in the market, quantity demanded equals quantity supplied, and the market clears.

question

If the quantity supplied in a market exceeds the quantity demanded in a market, prices would be expected to:

answer

fall

question

Suppose the equilibrium price of good X is $25 and the equilibrium quantity is 124 units. If the price of good X is $2:

answer

excess demand of X

question

Examine the figure Demand and Supply of Gasoline. A factor that may have changed supply from S1 to S2 is:

answer

better technology in the production of gasoline

question

***If peanut butter is an inferior good, what would happen to the price and quantity sold of peanut butter as incomes fall during an economic recession?

answer

The price and quantity would both increase.

question

A decrease in demand, with no change in supply, will lead to a(n) _____ in equilibrium quantity and a(n) _____ in equilibrium price.

answer

decrease, decrease

question

Given a supply curve that is positively sloped and a demand curve for a normal good that is negatively sloped, an increase in income will most likely result in

answer

increase in price and quantity

question

A newspaper story recently reported that the price of new cars, a normal good, has decreased and the quantity of new cars sold has dropped. The new price and quantity could have been caused by:

answer

decrease in buyers income

question

The market price of airline flights increased recently. Some economists suggest that the price increased because there has been an increase in the number of business travelers. They believe that in the market for flights:

answer

demand increased

question

The market for corn is in equilibrium. Which statement is most likely to increase the equilibrium price of corn?

answer

increasing production of corn-based ethanol

question

When the price of DVD players falls, the quantity of DVD players sold increases. This set of observations can be the result of the:

answer

NOT demand shift to right NOT supplyshift to left

question

The price of microchips used to produce computers falls. As a result, the equilibrium price of computers _____ and the equilibrium quantity ______.

answer

NOT fall and decrease fall, increase?

question

The market for lemonade is in equilibrium, and the price of lemons rises. How will this affect the lemonade market?

answer

a) Supply will decrease, increasing the price and decreasing the quantity.

question

A decrease in supply, with no change in demand, will lead to a(n) _____ in equilibrium quantity and a(n) _____ in equilibrium price.

answer

NOT decrease increase

question

Consider the market for corn. What happens if there is an increased demand for corn tortillas and at the same time a new corn seed becomes available that dramatically increases the per-acre yield?

answer

NOT indeterminate; quant decrease indeterminate; quant increase

question

Suppose the local real estate market is in equilibrium. A recession causes local household incomes to decline. At the same time, construction of a large subdivision of new homes has just been completed. Given these two changes and assuming that real estate is a normal good, one can predict the price of real estate will _____ and the quantity of real estate bought and sold will _____.

answer

fal; rise or fall

question

When the supply curve shifts from S1 to S2, the new intersection of supply and demand has a price of _____ and quantity of 400. This supply shift could have resulted from _____.

answer

$1.50; an improvement in refining technology

question

Given the resulting equilibrium after a change in supply from S1 to S2:

answer

at the old price of $2.50, there will be pressure for the price to fall.

question

"In 2008, air travel decreased substantially despite significant reductions in ticket prices." If this information is correct, it indicates that the law of demand did not apply to air travel in 2008.

answer

f

question

If demand decreases and supply increases, the direction of change in the equilibrium quantity is unpredictable unless the relative magnitudes of the demand and supply changes are known.

answer

true

question

Which statement ALWAYS results in an increase in price and quantity?

answer

NOT an increase in supply and a decrease in demand inc dem and no change in supply

question

An increase in demand with no change in supply will lead to a(n) _____ in equilibrium quantity and a(n) _____ in equilibrium price.

answer

increase increase

question

If tortilla chips are a normal good, what happens to equilibrium price and quantity when there is an increase in income?

answer

increase increase????

question

n the market for tacos, you observe that the equilibrium price and quantity have increased. This can be caused only by:

answer

NOT increase in price of beef inc income of ppl who eat taco

question

If the United States increases tariffs on imports of lumber from Canada (which causes the price of lumber to increase in the United States), the equilibrium price of new homes in the United States will _____ and the equilibrium quantity of new homes in the United States will _____.

answer

increase decrease

question

An increase in supply, with no change in demand, will lead to a(n) _____ in equilibrium quantity and a(n) _____ in equilibrium price.

answer

inc dec

question

In the market for corn tortilla chips, what would cause a price increase?

answer

fungus kills corn

question

In the market for local coffee, a normal good, the price will _____ and the quantity will _____ if new coffee shops open and consumers' incomes decrease due to a recession.

answer

dec; indet

question

The market for milk is initially in equilibrium. Milk producers engage in an advertising program to encourage milk drinking, which succeeds in shifting consumer tastes toward drinking milk. At the same time, more milk producers enter the market. Standard demand and supply analysis states that:

answer

the equilibrium quantity of milk will rise, but one cannot determine how the equilibrium price will be affected.

question

If consumer tastes for electric cars increase over the next 10 years, there will be an increase in the demand for electric cars, higher electric car prices, and an increase in the equilibrium quantity of electric cars.

answer

t

question

If D1 or S1 is the original curve and D2 or S2 is the new curve, which of the graphs shows what may happen in the market for DVDs if the cost of producing DVD players increases?

answer

NO: D1 doesn't shift up and to the right to D2

question

If D1 or S1 is the original curve and D2 or S2 is the new curve, which of the graphs illustrates what may happen in the market for DVDs if there is an increase in the cost of a movie ticket at the local theater?

answer

NOT: demand shifts to left/down

question

If D1 or S1 is the original curve and D2 or S2 is the new curve, which of the graphs shows what may happen if some of the stores that rent DVDs close?

answer

supply shift up and left

Flashcards with Answers on Microeconomics

Unlock all answers in this set

Haven't found what you were looking for?

Search for samples, answers to your questions and flashcards