Author Question: Two goods are Hicks (net) substitutes if a rise in the price of one causes a(n): a. decline in the ... (Read 38 times)

londonang · **on:** Jul 1, 2018

Two goods are Hicks (net) substitutes if a rise in the price of one causes a(n):
a. decline in the quantity demanded of the other holding nominal income constant.
b. increase in the quantity demanded of the other holding nominal income constant.
c. decline in the quantity demanded of the other holding utility constant.
d. increase in the quantity demanded of the other holding utility constant.

Question 2

Microsoft's success over Apple although Apple had a technologically superior product is the result of:
a. increasing returns in a network-based business
b. Microsoft's economies of scale over a wide range of output
c. the revenue sources derived from Microsoft's intellectual property
d. superior marketing and promotions
e. all of the above