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Question
Higher prices
a. lower the marginal utility per dollar spent and cause consumers to buy less of a good.
b. increase the marginal utility per dollar spent and cause consumers to buy less of a good.
c. do not change the marginal utility per dollar.
d. lower the marginal utility per dollar spent and cause consumers to buy more of a good.
e. increase the marginal utility per dollar spent and cause consumers to buy more of a good.
Answer
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Related questions
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b. relatively unresponsive to a change in price.
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Price gouging laws will usually result in ________ the product in the distressed market.
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c. government setting up an agency to regulate supply of
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The economic entity most likely to engage in price gouging is
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b. society faces a trade-off between homelessness and rent control.
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What will an individual do differently as a buyer in the black market in the long run?
a. He or she will substitute away from the product.
b. He or she will substitute toward the product.
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d. When a binding price ceiling exists, he or she will be willing to pay a lower price.
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Q:
What is the long-run consequence of a price ceiling law?
a. A surplus will continue to exist and will grow larger over time.
b. A surplus will continue to exist and will grow smaller over time.
c. A shortage will continue to exist and will grow larger over time.
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Q:
Suppose Solomon lives in a community with no price controls. What do you expect will happen if his town borders a community where there is a binding price ceiling on most products?
a. Prices in the legal market in the community with a binding price ceiling will rise.
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c. There will be shortages in the community with a binding price ceiling.
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c. the change in producer behavior is smaller.
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A(n) ________ in the elasticity of supply or demand in a market for a good that is taxed would tend to ________ who is legally responsible for paying the tax.a. decrease; broaden b. decrease; have no effect on c. increase; broadend. increase; narrowe. increase; have no effect on
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a. Demand for jelly will increase along with the price.
b. Demand for jelly will decrease along with the price.
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e. The supply of jelly will decrease and the price will increase.
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Q:
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