Managerial Economics: A Problem Solving Approach
5th Edition
ISBN: 9781337106665
Author: Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher: Cengage Learning
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Chapter 8, Problem 3MC
To determine
Not the correct situation.
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Which of the following would NOT decrease the demand for steak?
A. a fall in the price of chicken (a substitute)
B. a rise in the price of steak
C. a rise in the price of potatoes (a complement)
D. a decrease in consumer income (assume steak is a normal good)
E. all of the above WILL decrease the demand for steak
10.
Which one of the following statements is incorrect?A. A movement along a demand curve relates to the slope of the curve.B. A movement along a demand curve is called a change in the quantity demanded.C. A shift of a demand curve relates to the position of the curve.D. A shift of a demand curve relates to the intercept of the curve.E. There is no real difference between a shift of a demand curve and a change in the quantity demanded.
A change in the price of a product will cause:
Select one:
a. a shift in the supply curve
b. a change in quantity supplied
c. a change in demand for a product
d. a change in consumer preferences
Which of the following products is most likely to have an elastic demand?
Select one:
a. cigarettes
b. toothpicks
c. automobiles
d. insulin
Refer to the below information. Equilibrium price will be
Select one:
a. $2
b. $1
c. $4
d. $3
Chapter 8 Solutions
Managerial Economics: A Problem Solving Approach
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Similar questions
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- if nothing else is changing. what will happen when the price for using golf courses falls ? A. more people purchase golfing equipment B. the supply of golf courses increases C. the demand rises for other summer activities D. the amount of people golfing fallsarrow_forwardusing supply and demand analysis explain the effect on the price and quantity of red wine if consumer income increase significantly (b) price of white wine fallsarrow_forwardWhich of the following would most likely increase the demand for peanut butter? a. the invention of a new product that consumers think is a good substitute for peanut butter b. crop failures that raise the price of peanuts c. the discovery that excessive consumption of peanut butter is harmful to one's health d. a decrease in the price of jelly, a good that is often used with peanut butterarrow_forward
- Which of the following shifts the demand curve for rice? A. a decrease in the price of a pound of wheat a substitute in consumption for rice B. an increase in the price of the fuel used to transport rice to supermarkets C. great weather that produces a bumper rice crop this year D. disastrous weather that destroys about half of this year's rice croparrow_forward3) What will happen to the equilibrium, equilibrium price and quantity in the market for Levi's Jeans if the following event occurs? I. The price of denim cloth decreases A young group of consumers becomes crazy about Levi's II. III. Rumor is started that leads consumers to believe jeans will be more expensive (producers know the rumor is untrue)arrow_forward
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