Author Question: What happens to the demand for Xbox games if the price of an Xbox falls? A) The demand for Xboxes ... (Read 205 times)

abarnes

  • Hero Member
  • *****
  • Posts: 556
What happens to the demand for Xbox games if the price of an Xbox falls?
 
  A) The demand for Xboxes decreases because the price of a substitute falls.
  B) The demand for Xboxes increases because the price of a complement falls.
  C) The demand for Xboxes decreases because the price of a complement falls.
  D) The demand for Xboxes remains unchanged.

Question 2

The Ricardo-Barro effect holds that
 
  A) equal increases in taxes and government expenditures have no effect on equilibrium real GDP.
  B) government budget deficits have no effect on the real interest rate.
  C) a government budget deficit crowds out private investment.
  D) a government budget deficit induces a decrease in saving that magnifies the crowding out effect.



Sarahjh

  • Sr. Member
  • ****
  • Posts: 370
Answer to Question 1

B

Answer to Question 2

B



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Atropine was named after the Greek goddess Atropos, the oldest and ugliest of the three sisters known as the Fates, who controlled the destiny of men.

Did you know?

The types of cancer that alpha interferons are used to treat include hairy cell leukemia, melanoma, follicular non-Hodgkin's lymphoma, and AIDS-related Kaposi's sarcoma.

Did you know?

Adolescents often feel clumsy during puberty because during this time of development, their hands and feet grow faster than their arms and legs do. The body is therefore out of proportion. One out of five adolescents actually experiences growing pains during this period.

Did you know?

To prove that stomach ulcers were caused by bacteria and not by stress, a researcher consumed an entire laboratory beaker full of bacterial culture. After this, he did indeed develop stomach ulcers, and won the Nobel Prize for his discovery.

Did you know?

The lipid bilayer is made of phospholipids. They are arranged in a double layer because one of their ends is attracted to water while the other is repelled by water.

For a complete list of videos, visit our video library