The income effect of a decrease in the price of potatoes (an inferior good) is a(n)
a. decrease in the demand for potatoes
b. decrease in the quantity demanded of potatoes
c. increase in the demand for potatoes
d. increase in the quantity demanded of potatoes
e. new demand curve because everything else is no longer constant
B
Economics
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______________ are present if it is cheaper for one firm to produce products jointly than it is for separate firms to produce the same products independently
Fill in the blank(s) with the appropriate word(s).
Economics
Crude oil can be refined into home heating oil or gasoline. If very cold weather caused the price of home heating oil to increase then, the
A) supply of gasoline would increase. B) demand for gasoline would increase. C) equilibrium price of gasoline would rise. D) Both answers A and C are correct.
Economics