If good X is an inferior good, a decrease in consumer income, other things being equal, will shift the:

a. demand curve for good X to the right. b. demand curve for good X to the left.
c. supply curve for good X to the right. d. supply curve for good X to the left.

a

Economics

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In order to be binding, a price floor

A) must lie below the free-market equilibrium price. B) must coincide with the free-market equilibrium price. C) must be high enough for firms to earn a profit. D) must lie above the free-market equilibrium price.

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The absolute price of a good is the price of that good in terms of another good

Indicate whether the statement is true or false

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