If two goods are strong substitutes, cross elasticity is

When economists say entrepreneurs have a comparative advantage in arbitrage activity, they are saying

A) entrepreneurs are efficient at selling their products below cost. B) entrepreneurs are efficient at selling their products at cost. C) entrepreneurs are efficient at discovering opportunities to buy goods low and sell them at higher prices. D) entrepreneurs are efficient at resolving disputes of interest over titles to scarce property rights.

Which of these statements best represents the law of demand? a. When buyers' tastes for a good increase, they buy more of the good

b. When the size of the consumer population rises, buyers purchase more of most goods. c. When the price of a good decreases, buyers purchase more of the good. d. Changes in preferences lead to changes in demand.