What is the cumulative effect of a simultaneous increase in area income of 5 percent and a 10 percent increase in prices at Urban General?

a. Quantity demanded rises by 4 percent.
b. Quantity demanded falls by 4 percent.
c. Quantity demanded rises by 1 percent.
d. Quantity demanded does not change.
e. Quantity demanded falls by 1 percent.

c. Quantity demanded rises by 1 percent.

Economics

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How can stock prices affect spending by businesses and households?

What will be an ideal response?

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Increases in import spending _____________________, ceteris paribus

A) raise GDP B) lower GDP C) are always equal to decreases in exports D) may raise or lower GDP

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