The price elasticity of demand between milk and soda is likely to be
a. negative, because the goods are complements
b. positive, because the goods are complements
c. negative, because the goods are substitutes
d. positive, because the goods are substitutes
e. 0, because the goods are not usually consumed by the same person at one time
D
Economics
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Firms that survive in the long run are usually those that
A) become as large as possible. B) remain small. C) use more capital rather than more labor. D) earn the largest possible profit.
Economics
If the Federal Reserve is currently paying 1% interest on bank reserves, but then reduces that interest rate to 0.5%, banks may decide to hold ________ reserves, and the money supply may ________.
A. fewer; decrease B. fewer; increase C. more; decrease D. more; increase
Economics