Two goods are Hicks (net) substitutes if a rise in the price of one causes a(n):
a. decline in the quantity demanded of the other holding nominal income constant.
b. increase in the quantity demanded of the other holding nominal income constant.
c. decline in the quantity demanded of the other holding utility constant.
d. increase in the quantity demanded of the other holding utility constant.
d
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The tragedy of the commons refers to:
a. the plight of the common people, who are doomed to low paying jobs and discrimination. b. the fact that public resources are becoming scarce. c. the idea that what we have in common is often not why we trade. d. the idea that when everyone has free access to a resource, it will be overused and depleted.
Which of the following was the reserve currency under the gold exchange standard?
a. U.S. dollar b. Euro c. Great Britain pound d. Australian dollar e. Deutsche mark