Econ Macro (book Only)
6th Edition
ISBN: 9781337408745
Author: William A. McEachern
Publisher: Cengage Learning
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Chapter 3, Problem 2P
A
To determine
The influence of working husband and wife on the household production.
B
To determine
The influence of location of the household on the production of the household.
C
To determine
The influence of the high sales tax on food purchases on the production of the household.
D
To determine
The influence of high property tax rate on the household production.
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Many households supplement their food budget by cultivating small vegetable gardens. Explain how each of the following might influence this kind of household production:
Both husband and wife are professionals who earn high salaries.
The household is located in a city rather than in a rural area.
The household is located in a region where there is a high sales tax on food and The household is located in a region that has a high property tax rate.
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Multiple Choice
demand has increased relative to supply.
supply has increased relative to demand.
neither demand nor supply has changed significantly in the past two decades.
the concepts of demand and supply are irrelevant.
An increase in the cost of flour used to bake bread is most likely to
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