When two or more items are used in combination to

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42. When two or more items are used in combination to produce a final product, they are said to have _____ demand. a. derived b. inelastic c. joint d. fluctuating e. elastic ANS: C This is the definition of joint demand.
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PTS: 1 REF: 106 OBJ: 07-6 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Customer 43. Apple iTunes has sold over five billion downloads. Without iTunes the demand for the Apple iPod line of products would be small. Without the musicians there would be no iTunes. A condition of _____ demand exists. PTS: 1 REF: 106 OBJ: 07-5 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Customer 44. A decline in the availability of bicycle handle bars will decrease Huffy Bicycle Company's production of bicycles. Decreased production in turn reduces Huffy's demand for bicycle seats. This is because the products in this situation have _____ demand. PTS: 1 REF: 106 OBJ: 07-6 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Customer 45. When demand for a product is _____, an increase or decrease in the price of the product will not signi- ficantly affect demand for the product. PTS: 1 REF: 106 OBJ: 07-6 TYPE: Def TOP: AACSB Reflective Thinking | TB&E Model Customer 46. An acute shortage of heavy-duty tires is threatening to disrupt operations in mining and construction sites around the world. According to one mine operator, "I've got the coal and market, and I have the trucks to haul the coal, but I don't have the tires. I’d be willing to pay double the price if I could get the tires I need." The demand for heavy-duty tires is: a. joint b. inelastic c. elastic
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d. congruent e. derived ANS: B When demand for a product is inelastic, an increase or decrease in the price of the product will not sig- nificantly affect demand for the product. PTS: 1 REF: 106 OBJ: 07-6 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Customer 47. Lanover Manufacturing supplies windshield wiper blades to General Motors and Ford. A sudden jump in the price of rubber and its substitutes has forced Lanover and other wiper blades manufacturers to double the price of the wiper blades. This increase in price has not affected sales volume for wiper blades. The price change did not change demand for windshield wiper blades because demand for this product by business customers is:
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