Marginal utility theory predicts that a rise in the price of a banana results in
A) the demand curve for bananas shifting rightward.
B) the demand curve for bananas shifting leftward.
C) a movement upward along the demand curve for bananas.
D) a movement downward along the demand curve for bananas.
C
You might also like to view...
In the figure, the equilibrium price is initially $3 per bushel of wheat. If buyers come to expect that the price of a bushel of wheat will rise in the future, but sellers do not, the current equilibrium price will
A) rise. B) not change. C) fall. D) Perhaps rise, fall, or stay the same, depending on whether there are more demanders or suppliers in the market.
The Fed has decreased the money supply. The formula for calculating the resulting change in demand deposits is
a. (1/RRR) minus the change in reserves b. (1/RRR) multiplied by the change in reserves c. the change in reserves divided by [1 - (1/RRR)] d. RRR minus the change in reserves e. [1 - (1/RRR)] multiplied by the change in reserves