The demand for a good increases when the price of a substitute

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The demand for a good increases when the price of a substitute

The demand for a good increases when the price of a substitute ____ and also increases when the price of a complement ____. A) rises; rises B) rises; falls C) falls; rises D) falls; falls Answer: B
A complement is a good
Suppose people buy more of good 1 when the price of good 2 falls. These goods are
As the opportunity cost of a good decreases, people buy
People come to expect that the price of a gallon of gasoline will rise next week. As a result, A) today’s supply of gasoline increases. B) today’s demand for gasoline increases. C) the price of a gallon of gasoline falls today. D) next week’s supply of gasoline decreases. Answer: B
The demand curve for a normal good shifts left-ward if income ____ or the expected future price ____.
If income increases or the price of a complementfalls,
If income decreases or the price of a complement rises,
A consumer might consider in-line skates and elbow-pads to be A) products with upward sloping demand curves. B) unrelated goods. C) complements. D) substitutes. Answer: C
A decrease in the price of a game of bowling shifts the
Normal goods are those for which demand decreases as

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