• 2022-06-15
    In the case of homothetic preferences the entire change in demand from a price change is due to the substitution effect.
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      Predictable variability is A: change in demand that can be forecasted. B: change in demand that cannot be forecasted. C: change in demand that has been planned. D: change in demand that has been scheduled. E: all of the above

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      An increase in market supply and an increase in market demand will result in A: A decrease in equilibrium price and an increase in equilibrium quantity B: A decrease in equilibrium price - the change in equilibrium quantity is indeterminate C: An increase in equilibrium quantity and the change in price is unclear D: all of above

    • 2

      Economists are interested in all the factors that can help to ___ the extent to which a price change will affect supply and demand in the market.

    • 3

      The change in words is a change in style, and the effect on the reader is quite different.

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      The production function is the A: increase in the amount of output from an additional unit of labor. B: marginal product of an input times the price of output. C: relationship between the quantity of inputs and output. D: shift in labor demand caused by a change in the price of output.