Suppose the consumer's income increases while the prices of the goods remain constant. Then the
A) budget constraint shifts outward parallel to the original budget constraint.
B) indifference curves become flatter.
C) budget constraint shifts inward parallel to the original budget constraint.
D) indifference curves shift outward away from the origin.
A
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When the market clearing price of gasoline after a hurricane spikes to $6.00 but legislators enact "anti-gouging" legislation that keeps prices at $4,
A) consumers as a whole will tend to benefit. B) producers will have less incentive to bring gasoline to the areas where gasoline is most highly valued. C) government will ensure that no shortages will develo
The combining of First Union National Bank and The National Bank of Memphis is an example of
A) a vertical merger. B) a horizontal merger. C) a downstream formation. D) a conglomerate merger.