If an increase in a person's income causes that person to buy more apples, then apples are
a. neutral with respect to price
b. complements
c. inferior goods
d. normal goods
e. substitute goods
D
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Why does the government allow some markets to be monopolized by granting patents?
a. to promote a more equal distribution of income b. to correct for negative externalities c. to promote technological progress d. to ensure lower prices for consumers in the short run
The World Trade Organization (WTO) promotes foreign trade and investment, or globalization. In recent years opposition to globalization has led to violent protests at meetings of the WTO. All of the following are reasons for these anti-globalization
protests except A) protestors believe the WTO favors the interests of high-income countries at the expense of lower-income countries. B) protesters believe that tariffs are needed to protect domestic firms from foreign competition. C) protesters believe that free trade destroys the distinctive cultures of many countries. D) protesters object to the loss of intellectual property (such as software programs and movies) that results from foreign trade and investment.