(a) If the
Explanation of Solution
We know that the
(b) More experienced workers typically have higher incomes than less experienced workers.
Explanation of Solution
A well-made product usually costs more than a poorly made product. Likewise, highly experienced workers are skilled and have up to date knowledge. Thus an experienced worker demands higher salary because of the added value which he gets along with his years of experience. Panel (c) is the suitable image for this kind of relationship. Thus the slope would be a positive slope, as additional experience would result in higher income. Years of experience being an independent variable will be represented on the horizontal axis and the income of the workers, the dependent variable, will be represented on the vertical axis.
(c) Whatever the temperature outside, Americans consume the same number of hot dogs per day.
Explanation of Solution
The slope for this kind of relationship will be zero and Panel (d) will be appropriate for this relationship. As there is no change in the number of hot dogs consumed irrespective of the temperature, the slope will be zero. The temperature being an independent variable will be projected on the horizontal axis and the number of hot dogs on the vertical axis, as the consumption of hot dogs does not change with the temperature.
(d) Consumers buy more frozen yogurt when the price of ice cream goes up
Explanation of Solution
The law of
(e) Research finds no relationship between the number of diet books purchased and the number of pounds lost by the average dieter.
Explanation of Solution
The slope for this kind of relationship will be zero and Panel (d) will be appropriate for this relationship. As there is no relationship between the number of diet books purchased and the number of pounds lost by the average dieter, the slope will be zero. The number of diet books purchased is an independent variable will be projected on the horizontal axis and the number of pounds lost on the vertical axis.
(f) Regardless of its price, Americans buy the same quantity of salt
Explanation of Solution
Some goods like salt are price inelastic because even if the price of the goods increase people generally keep buying. These goods are termed as necessary goods. Panel (b) illustrates the correct match for this relation.. If the prices are variable, it is measured on vertical axis. Hence, price of salt will be plotted on the vertical axis and the quantity of salt demanded will be plotted on the horizontal axis. Since consumers keep buying salt, irrespective of the change in price, the demand curve will be a vertical line and the slope will be infinity.
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