Author Question: If the demand for a product remains the same and the supply falls, A) the market clearing price ... (Read 92 times)

AEWBW

  • Hero Member
  • *****
  • Posts: 579
If the demand for a product remains the same and the supply falls,
 
  A) the market clearing price will fall and the equilibrium quantity will rise.
  B) the market clearing price will rise and the equilibrium quantity will fall.
  C) both the market clearing price and the equilibrium quantity will fall.
  D) both the market clearing price and the equilibrium quantity will rise.

Question 2

There is an increase in the demand for cream when the price of coffee falls. Other things constant, we can conclude that coffee and cream are
 
  A) substitute goods.
  B) inferior goods.
  C) independent goods.
  D) complementary goods.



epscape

  • Sr. Member
  • ****
  • Posts: 335
Answer to Question 1

B

Answer to Question 2

D



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Tobacco depletes the body of vitamins A, C, and E, which can result in any of the following: dry hair, dry skin, dry eyes, poor growth, night blindness, abscesses, insomnia, fatigue, reproductive system problems, sinusitis, pneumonia, frequent respiratory problems, skin disorders, weight loss, rickets, osteomalacia, nervousness, muscle spasms, leg cramps, extremity numbness, bone malformations, decayed teeth, difficulty in walking, irritability, restlessness, profuse sweating, increased uric acid (gout), joint damage, damaged red blood cells, destruction of nerves, infertility, miscarriage, and many types of cancer.

Did you know?

The most common childhood diseases include croup, chickenpox, ear infections, flu, pneumonia, ringworm, respiratory syncytial virus, scabies, head lice, and asthma.

Did you know?

Addicts to opiates often avoid treatment because they are afraid of withdrawal. Though unpleasant, with proper management, withdrawal is rarely fatal and passes relatively quickly.

Did you know?

The U.S. Pharmacopeia Medication Errors Reporting Program states that approximately 50% of all medication errors involve insulin.

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.

For a complete list of videos, visit our video library