Positive cross elasticities suggest that goods are ____ and negative cross-elasticities that goods are ?

A. Substitutes inferior
B. Normal, complements
C. Substitutes complements
D. Normal, inferior

Inferior goods have _________ and luxury goods have _________?

A. Negative income elasticity income elasticity greater than 1
B. Income elasticity greater than 1, negative income elasticities
C. Positive income elasticities, negative income elasticities
D. None of the above

The income effect of a price increase of a normal good is to ________ of that good and the substitution effect is to _________ of that good?

A. Increase quantity demanded, reduce quantity demanded
B. Increase quantity demanded, increases quantity demanded
C. Reduce quantity demanded, reduce quantity demanded
D. Reduce quantity demanded, increase quantity demanded

Economics assumes that people consume goods and services to achieve ?

A. Status
B. Prestige
C. Utility
D. Self-esteem

Adding up the quantities demanded of a good by different people facing the same price gives us the ?

A. Supply curve
B. Market demand curve
C. Demand curve
D. Market supply curve

The increase in total cost when one more unit is produced is known as ?

A. Marginal cost
B. Opportunity cost
C. Limited cost
D. Average cost

Which of the following would decease aggregate demand ?

A. Increase consumption
B. Increasing export revenue
C. Increased taxation revenue
D. Increased investment

Increase unemployment benefits and less incentive to work would ?

A. Shift aggregate supply to the right
B. Shift aggregate supply to the left
C. Shift aggregate demand to the right
D. Shift aggregate demand to the left

Increased levels of spending on imports ?

A. Shift aggregate supply to the right
B. Shift aggregate supply to the left
C. Shift aggregate demand to the right
D. Shift aggregate demand to the left

If demand is __________ then price cuts will _________ spending?

A. Inelastic; increase
B. Elastic; increase
C. Elastic, decrease
D. None of the above