The price of a DVD rental is $1.50 and the price of a downloaded movie is $1.00. If the price of a DVDrental increases by $0.50, the relative price a downloaded movieSelect one:O a. falls.O b. rises:Oc. does not change.O d. might change but more information is needed. When there is an excess quantity supplied in the marketSelect one:O a. the price of the product will decrease, causing an increase in quantity demanded and a decreasein quantity supplied.O b. the price of the product will increase, causing a decrease in quantity demanded and an increasein supply.O c. the price of the product will increase, causing a decrease in demand and an increase in supply.O d. the price will increase, causing a decrease in demand and an increase in quantity supplied.

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The price of a DVD rental is $1.50 and the price of a downloaded movie is $1.00. If the price of a DVD rental increases by $0.50, the relative price a downloaded movie Select one: O a. falls. O b. rises. O c. does not change. d. might change but more information is needed.

The price of a DVD rental is $1.50 and the price of a downloaded movie is $1.00. If the price of a DVD rental increases by $0.50, the relative price a downloaded movie Select one: O a. falls. O b. rises. O c. does not change. d. might change but more information is needed.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

The price of a DVD rental is $1.50 and the price of a downloaded movie is $1.00. If the price of a DVD
rental increases by $0.50, the relative price a downloaded movie
Select one:
O a. falls.
O b. rises:
Oc. does not change.
O d. might change but more information is needed.

When there is an excess quantity supplied in the market
Select one:
O a. the price of the product will decrease, causing an increase in quantity demanded and a decrease
in quantity supplied.
O b. the price of the product will increase, causing a decrease in quantity demanded and an increase
in supply.
O c. the price of the product will increase, causing a decrease in demand and an increase in supply.
O d. the price will increase, causing a decrease in demand and an increase in quantity supplied.

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