Suppose hot dogs and mustard are complements in consumption. An increase in the supply of hot dogs, everything else held constant, will cause the equilibrium price of mustard to _____ and the equilibrium quantity of mustard transacted to _____. A. increase; increase B. decrease; increase C. decrease; decrease D. increase; decrease

38. Which of the following events will cause the demand curve for hamburgers to shift to the right? An increase in the price of pizza, a substitute for hamburgers b. An increase in the price of French fries, a complement to hamburgers c. An increase in the price of hamburgers d. A decrease in the price of hamburgers

3. Which of the following events will cause a leftward shift in the demand curve forice cream?a. The price of pie (a substitute for ice cream) increasesb. The supply of ice cream decreasesc. The price of ice cream increasesd. The price of sprinkles (complement) increases

8. Shifts in supply or demand I The following graph plots the market for electric guitars in Chicago, where there are always over 1,000 music stores. Suppose the price of acoustic guitars decreases. (Assume that people regard electric guitars and acoustic guitars as substitutes.) Show the effect of this change on the market for electric guitars by shifting one or both of the curves on the following graph, holding all else constant. Note: Select and drag one or both of the curves to the desired position. Curves will snap into position, so if you try to move a curve and it snaps back to its original position, just drag it a little farther. PRICE (Dollars per guitar) QUANTITY (Guitars) Supply Demand Demand Supply ? Now suppose Congress passes a new tax that decreases the income of Chicago reside If electric guitars are a normal good, this will cause the demand for electric guitars to decrease increase

The market for cellular phones has seen a combination of improving telecommunication technology and rising consumer incomes. Suppose you are told that the price of cellular phones decreased over the past five years. The decreasing prices of cellular phones, a normal good, implies that the magnitude of:   A. he rightward shift of the demand curve is greater than that of the rightward shift of the supply curve   B. The leftward shift of the demand curve is greater than that of the rightward shift of the supply curve   C. The rightward shift of the demand curve is less than that of the rightward shift of the supply curve   D. The rightward shift of the demand curve is less than that of the leftward shift of the supply curve

The law of demand implies that, other things remaining the same,A) as the demand for cheeseburgers increases, the price of a cheeseburger will fall.B) as the price of a cheeseburger rises, the quantity of cheeseburgers demanded will decrease.C) as income increases, the quantity of cheeseburgers demanded will increase.D) as the price of a cheeseburger rises, the quantity of cheeseburgers demanded will increase.

Oil refiners can refine a barrel of petroleum so that it yields either more home heating oil or more diesel fuel (i.e., they are related goods). If the price of diesel fuel falls, there is O an increase in the quantity of home heating oil supplied. O an increase in the supply of home heating oil. O an increase in the demand for home heating oil. O a decrease in the quantity of home heating oil supplied. O a decrease in the supply of home heating oil.

1. If substitutes are not readily available for a product, it has A. Inelastic demand. B. Elastic demand. ... 1... C. An income effect. D. A substitution effect. 2. A price increase causes a fall in a company's total revenue. This indicates that demand for the company's products is A. Steady B. Elastic C. Inelastic D. Fluctuating 3. Which direction will the demand curve shift if consumers' income rise? A. To the right B. To the left C. Upward D. Downward

A change from Point B to Point C represents a(n): B E Price D Quantity O decrease in supply. O increase in quantity supplied. O increase in supply. O decrease in quantity supplied. 52 50

Consider the market demand for compact cars. Complete the following table by indicating whether an event will cause a movement along the demand curve for compact cars or a shift of the demand curve for compact cars, holding all else constant. Event A decrease in the price of gasoline (a complement for compact cars) A decrease in the price of compact cars A decrease in the number of consumers Movement Along Shift O O