HW 2 - ECO303.02 HW #2 Multiple-Choice Questions (1 pt per...

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ECO303.02 HW #2 Multiple-Choice Questions (1 pt per question) There is only one correct choice in the following questions. 1) Assume that steak and potatoes are complements. When the price of steak goes up, the demand curve for potatoes: A) shifts to the left. B) shifts to the right. C) remains constant. D) shifts to the right initially and then returns to its original position. 2) You are analyzing the demand for good X. Which of the following will result in a shift to the right of the demand curve for X? A) A decrease in the price of X B) An increase in the price of a good that is a complement to good X C) An increase in the price of a good that is a substitute for X D) all of the above Scenario 2.1: The demand for books is: Q d = 120 - P The supply of books is: Q s = 5P 3) Refer to Scenario 2.1. What is the equilibrium price of books? A) 5 B) 10 C) 15 D) 20 E) none of the above 4) Refer to Scenario 2.1. What is the equilibrium quantity of books sold? A) 25 B) 50 C) 75 D) 100 E) none of the above 5) Refer to Scenario 2.1. If P = $15, which of the following is true? A) There is a surplus equal to 30.
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HW 2 - ECO303.02 HW #2 Multiple-Choice Questions (1 pt per...

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