A change in the distribution of income which leaves total income constant will not shift the market demand curve for a product if
a. everyone has an income elasticity of demand of zero for the product.
b. everyone has the same income elasticity of demand for the product.
c. individuals have differing income elasticities for the product, but the average income elasticity for income gainers is equal to the average income elasticity for income losers.
d. any of the above conditions occur.
d
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Compare and contrast Say's views of the macroeconomy with that of Keynes. What does each have to say about the economy in relationship to its potential level of real GDP?
What will be an ideal response?
A demand schedule refers to the combinations of price and quantity that represent the:
A. Concerns of regulators. B. Preferences of businesses. C. Desires of consumers. D. Demands of producers.