A situation in which there is a reduction in quantity supplied to zero when there is the slightest decrease in price is

The major component of federal government consumption is spending on ________

A) Social Security, Medicare and Medicaid B) foreign aid C) capital goods, e.g. highways and schools D) national defense

A comic book company pays an annual licensing fee of $10,000 for the rights to an artist's character. Which would have the bigger effect on the readers of that character's comic: an increase in printing costs or an increase in the artist's licensing fee? Explain.

What will be an ideal response?