If businesses are pessimistic, they are ________.
A. less likely to borrow and invest
B. more likely to borrow and invest
C. moving down, along the investment demand curve
D. moving up, along the investment demand curve
Answer: A
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The process of focusing on only the most important factors to explain a phenomenon is called
a. abstraction. b. marginal analysis. c. rational choice. d. controlled experimentation. e. the trade-off between efficiency and equality.
Which if the following is the best example of derived demand?
A. The demand for movie theater ushers increases when more consumers choose to go to movie theaters. B. More peanut butter is demanded as the price of strawberry jam falls. C. When the price of Honda Accords increased, the demand for Nissan Altimas went up. D. Janice got a Samsung Galaxy Tab for her birthday, and now her best friend Tamika wants one for her birthday.