How will an unanticipated decrease in aggregate demand influence equilibrium output in the goods and services market?
What will be an ideal response?
Output will decrease, and the general level of prices will fall.
Economics
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Explicit costs are measured in dollars
Indicate whether the statement is true or false
Economics
A Minnesota snowmobile dealer lowers its prices in February by 16 percent and the quantity demanded increases by 2 percent. Thus the demand for snowmobiles from this dealer is ________ and the dealer's total revenue will ________
A) elastic; increase B) elastic; decrease C) inelastic; increase D) inelastic; decrease E) unit elastic; decrease
Economics