Every spring, motorists do more driving than during the winter months. Every spring, the price of gasoline increases and the motorists buy more gasoline. This experience suggests that the
A) "law of supply" does not always hold for necessities like gasoline.
B) "law of demand" does not always hold for necessities like gasoline.
C) laws of supply and demand are both contradicted for gasoline, though only during the spring driving season.
D) None of the above answers are correct.
D
Economics
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Historical table 5.1 (which we used earlier in the semester)
What will be an ideal response?
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Which of the following causes a movement along the aggregate demand curve?
A) an increase in the price level B) an increase in government spending C) an increase in the money supply D) a fall in wages
Economics