Author Question: In the market for cell phones, which of the following events increases the supply of cell phones? ... (Read 285 times)

wrbasek0 · **on:** Jun 29, 2018

In the market for cell phones, which of the following events increases the supply of cell phones?

A. New technology lowers the cost of making a cell phone
B. Rise in the price of an e-book reader (a substitute in production)
C. An increase in people's incomes
D. A rise in the wage rate paid to electronics workers

Question 2

The Fed's preferred measure of inflation is

A) the GDP deflator
B) the consumer price index
C) the core personal consumption expenditures index
D) the index of leading economic indicators
E) the producer price index

Sassygurl126 · **Reply #1 on:** Jun 29, 2018

Answer to Question 1

A Answers B and D decrease the supply of cell phones; answer C affects the demand for cell phones.

Answer to Question 2

C