When two goods are substitutes
A) the demands for both goods will be inelastic.
B) cross price elasticity of demand will be 0.
C) cross price elasticity of demand will be negative.
D) cross price elasticity of demand will be positive.
D
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When an international financial crisis occurs
A) financial lenders protect their investments by pouring money into the ailing country. B) there are no serious financial effects that last more than a few months. C) financial flows can slow to a trickle, influencing economic growth. D) investors sell off bonds and restrict loans as a mechanism to help the country recover.
Distinct from any other market structure, the firm in long-run perfect competition ends up producing where
a. P = MR = MC = ATC, and AFC = 0 b. P > MR = MC = ATC, and AFC = 0 c. P < MR = MC < ATC, where ATC = (AFC + AVC + MC) d. P = MR = MC = ATC, where ATC = (AFC + AVC) e. P > MR and ATC > MC, where MC = (AFC + AVC)