The demand curve, which is a downward-sloping straight line, crosses the supply curve, which is an upward-sloping straight line. If a tax is introduced where sellers must pay a tax of $2 per unit sold, then the equilibrium price paid by demanders will rise by more than $1 if the abso...
The substitution effect is reflected by a movement along an indifference curve to a point with a different slope.Copyright2004 South-WesternSummary The theory of consumer choice can explain: Why demand curves can potentially slope upward. How wages affect labor supply. How interest rates affect ...
Which of the following explains why supply curves slope upward? A. prices and income B. increasing marginal cost C. resources and technology D. substitutes in production and complements in production 相关知识点: 试题来源: 解析 B 反馈 收藏 ...
The line is ___ sloping. A. upward B. downward C. forward D. backward 相关知识点: 试题来源: 解析 A。本题考查形容词的用法。斜率为正的线是向上倾斜的,所以用 upward sloping。B 选项 downward 是向下的;C 选项 forward 通常指向前;D 选项 backward 指向后。反馈 收藏 ...
40、he upward slope of the supply curve is due not only to the profit motive but the increasing marginal cost of printers. (Increasing marginal costs were discussed in Chapter 2. Hewlett-Packard will increase its quantity supplied from 9 to 10 million in Figure 3.7 only if the price it wil...
The Costs of Production Chapter 13 The Costs of Production The Law of Supply: Firms are willing to produce and sell a greater quantity of a good when the price of the good is high. This results in a supply curve that slopes upward. The Firm’s Objective The economic goal of the firm ...
TheCostsofProduction TheLawofSupply:Firmsarewillingtoproduceandsellagreaterquantityofagoodwhenthepriceofthegoodishigh.Thisresultsinasupplycurvethatslopesupward.Harcourt,Inc.itemsandderiveditemscopyright©2001byHarcourt,Inc.TheFirm’sObjective Theeconomicgoalofthefirmistomaximizeprofits.Harcourt,Inc.items...
5) The production possibilities frontier D) is also called the supply curve. A) depicts the boundary between those combina- Answer: C tions of goods and services that can be produced and those that cannot given resources and the Topic: Production Possibilities Frontier current state of ...
Asupply curveslopes upward. As prices increase, suppliers provide more of a good or service. Market Equilibrium The point where supply and demand curves intersect represents the market clearing or market equilibrium price. An increase in demand shifts the demand curve to the right. The two curves...
Unit 2: Supply, Demand and Consumer Choice Practice Questions 1. The demand curve for a normal good slopesdown for which of the following reasons? I.An increase in the price of the good induces consumers to purchase substitute products. II.An increase in the price of the good reduces consum...