If an increase in the price of blue jeans leads to an increase in the demand for tennis shoes, then blue jeans and tennis shoes are
a. substitutes
b. complements
c. normal goods
d. inferior goods
e. none of the above
a. substitutes
Economics
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Draw a scatter diagram of the inflation rate and the interest rate. Describe the relationship
What will be an ideal response?
Economics
Which of the following statements is TRUE of static tax analysis?
A) A government receives lower tax revenues by raising the tax rate. B) A government receives higher tax revenues by raising the tax rate. C) A government cannot change it tax revenues by changing the tax rate. D) A change in the tax rate can raise or lower tax revenues, depending on other factors.
Economics