The income and substitution effects account for:
A. the upward-sloping supply curve.
B. the downward-sloping demand curve.
C. movements along a given supply curve.
D. shifts in the demand curve.
Answer: B
Economics
You might also like to view...
Refer to Figure 2-5. If the economy is currently producing at point Y, what is the opportunity cost of moving to point X?
A) 5 million tons of paper B) 19 million tons of steel C) 9 million tons of paper D) 5 million tons of steel
Economics
Which of the following statements is true?
A) The marginal cost curve intersects the average fixed cost curve at its minimum point. B) When marginal cost is greater than average fixed cost, average fixed cost increases. C) Average fixed cost does not change as output increases. D) As output increases, average fixed cost becomes smaller and smaller.
Economics