This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Under what circumstances will the law of one price hold, and when might it not hold? What will be ... (Read 84 times)

cabate

  • Hero Member
  • *****
  • Posts: 537
on: Jun 29, 2018
Under what circumstances will the law of one price hold, and when might it not hold?
 
  What will be an ideal response?

Question 2

The average price of gasoline in your neighborhood is 2.15 per gallon.
 
  Your neighbor, Diana tells you that you can save a lot by frequenting a gas station 20 miles outside your neighborhood where the price of gasoline is 2.06 per gallon However, she cautions you that there are usually long lines at that station. Is her suggestion beneficial to you?
  A) No, my friend is misled; clearly, the lower-priced gasoline must be of inferior quality and could damage vehicles.
  B) No, if one factors in the non-monetary opportunity costs (driving time and waiting in line), it could prove more costly to go to the lower-priced gasoline station.
  C) Yes, the lower price of gasoline at the rival station increases my purchasing power and enables me to consume more of other goods.
  D) Yes, since gasoline is a necessity for car owners, the total cost savings would be relatively substantial.
InMicro ¦ Hubbard, O'Brien ¦ 1st Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

mcni194

  • Sr. Member
  • ****
  • Posts: 311
Reply #1 on: Jun 29, 2018
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 32% of students answer this correctly


cabate

  • Member
  • Posts: 537
Reply 2 on: Jun 29, 2018
Great answer, keep it coming :)

rachel

  • Member
  • Posts: 323
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

Did you know?

Approximately 25% of all reported medication errors result from some kind of name confusion.

Did you know?

The first-known contraceptive was crocodile dung, used in Egypt in 2000 BC. Condoms were also reportedly used, made of animal bladders or intestines.

Did you know?

Despite claims by manufacturers, the supplement known as Ginkgo biloba was shown in a study of more than 3,000 participants to be ineffective in reducing development of dementia and Alzheimer’s disease in older people.

Did you know?

Women are two-thirds more likely than men to develop irritable bowel syndrome. This may be attributable to hormonal changes related to their menstrual cycles.

Did you know?

Elderly adults are living longer, and causes of death are shifting. At the same time, autopsy rates are at or near their lowest in history.

Hold baby’s hands and (A) cross arms over chest and then (B) open out to the sides. Repeat several ... Hold baby’s hands and (A) cross arms over chest and then (B) open out to the sides. Repeat several ...
Stretch arm overhead. Stand to the side facing the same direction as the recipient. Hold onto the ... Stretch arm overhead. Stand to the side facing the same direction as the recipient. Hold onto the ...
Clear the cisterna chyli. Instruct the recipient to take in a deep diaphragmatic breath and hold it ... Clear the cisterna chyli. Instruct the recipient to take in a deep diaphragmatic breath and hold it ...
DRAMA - Don't Hold Back (Official Video) DRAMA - Don't Hold Back (Official Video)
Sonal bought a coat for $198.88, which included 8% PST and 5% GST. What was the selling price ... Sonal bought a coat for $198.88, which included 8% PST and 5% GST. What was the selling price ...
"The Department of Agriculture came out today with its prediction for food price "The Department of Agriculture came out today with its prediction for food price
Video: Darwin's Observation (Fossils, Galapagos Islands & Africa ) and Natural Selection (Adaptive Traits)

For a complete list of videos, visit our video library