Mechanisms that manufacturers can use to deal with misaligned retailer incentives include
a. setting a maximum retail price
b. allowing many retailers to sell the product in each market
c. compensating retailers' sales staff for demonstrating the product
d. eliminate manufacturer staff that was demonstrating the product in stores
c
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When Matt has an income of $2,000 . he consumes 30 units of good A and 50 units of good B. After Matt's income increases to $3,000 . he consumes 25 units of good A and 95 units of good B. Which of the following statements is correct?
a. Both goods A and B are normal goods. b. Both goods A and B are inferior goods. c. Good A is a normal good, and good B is an inferior good. d. Good A is an inferior good, and good B is a normal good.
Equilibrium price and quantity are determined by:
A. both supply and demand. B. demand. C. supply. D. government regulations.