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Unformatted text preview: g. Critical Thinking
4. Carmelo says, “A movie
theater charges the same
price for a popular movie
as it does for an unpopular movie. Obviously, the
movie theater doesn’t
charge more when
demand for the movie is
higher than when it is
lower.” Shelby counters by saying, “Movie theaters often call the more
popular movies special
engagements and do not
accept any discount tickets for them.” If Shelby is
correct, does her point
Explain your answer. Applying Economic
5. This section stated that
people will earn high
incomes if they can supply labor services that not
many other people can
supply, and for which
demand is great. If you
choose to go to college,
how will this information
affect your supply
Section 2 Supply and Demand in Everyday Life 147 06 (128-153) EMC Chap 06 11/21/05 3:14 PM Page 148 The WWW Gets You More for Less I nformation is something people
will pay to have. We see it a hundred times a day. A person who
wants to sell her house will pay a
real estate agent to inform her of
where the buyers are who want to
buy her house. A person who wants
to buy bonds and stocks might pay a
financial analyst to inform him of the
best stocks and bonds to buy. Just
as people buy goods and services
every day, they also buy information
every day. The World Wide Web
The introduction of the World
Wide Web has made it cheaper and
easier to acquire certain information.
You just need to know where to look.
Buying a Car Let’s suppose that
Jimmy wants to buy a Honda Accord.
The list price of the car is $23,100.
But Jimmy wants to know the invoice
price; he wants to know what the
dealer paid for the car. He can go to
www.emcp.net/autobytel and find
that the invoice price is $20,788.
Knowing the invoice price gives
Jimmy information that he didn’t have
before. It is information that is useful
to him when he is negotiating the
price he will pay for the car.
Suppose Jimmy just wants to
know what cars are especially safe
for teenagers. He can go to www.emcp.net/consumerreports a...
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This document was uploaded on 01/16/2014.
- Winter '14