A positive cross price elasticity of demand between two goods suggests that the goods are
A) not related.
B) complements.
C) substitutes.
D) both of unitary elasticity.
C
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When two goods are related such that an increase in the price of one good decreases the quantity demanded of the other good, these goods are definitely
A) normal goods. B) luxury goods. C) complements. D) substitutes. E) inferior goods.
Which of the following statements is based on positive analysis?
a. Individuals without health insurance have less access to physicians' services than those who have health insurance. b. The high cost of health insurance places U.S. firms at a competitive disadvantage with their foreign competitors. c. Employers should be required to provide health insurance for all full-time workers and their dependents. d. none of the above. e. Both a and b.