Author Question: Which of the following statements is FALSE about the demand curve? A) An increase in demand ... (Read 40 times)

amal · **on:** Jun 29, 2018

Which of the following statements is FALSE about the demand curve?

A) An increase in demand shifts the demand curve to the left, closer to the price axis.
B) When only the price of a good changes, there is movement along the demand curve but no change in demand.
C) A change in demand is graphically shown by shifting the entire demand curve.
D) When demand decreases, there is a drop in the quantity demanded at each price.

Question 2

One key assumption of the classical model is

A) government spending plays a major role.
B) money illusion cannot fool workers.
C) wages are sticky.
D) prices are sticky.