18. Markets are gooc outcome? f so,

5. Study Questions and Problems #5 Suppose war in the Middle East threatened oil supplies, and gasoline prices began rising. Consumers feared future oil shortages, so they rushed to fill up their gas tanks. In this case, as the price of gas increased, consumers bought more, not less. Could this be an exception to the law of demand? In this example, the demand curve T shifting.

An owner of a landscaping business received extra income in the previous month. She is considering eitner buying a new lawnmower or spending the money on an advertisment in order to increase business in the next few months If the business owner chooses to spend the money on an advertising campaign, what is the opportunity cost? O A. more advertising O B. next month's income O C. the lawnmower O D. increased business