Question: Consider the following statements, based on a positive economic analysis that assumes that all other things remain constant. For each, list one other thing that

Consider the following statements, based on a positive economic analysis that assumes that all other things remain constant. For each, list one other thing that might change and thus offset the outcome stated.
a. Increased demand for laptop computers will drive up their price.
b. Falling gasoline prices will result in additional vacation travel.
c. A reduction of income tax rates will result in more people working.

Step by Step Solution

★★★★★

3.26 Rating (155 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

a The Increase in demand led to the increase in the price The o... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

985-B-E-M-E (6678).docx

120 KBs Word File

Students Have Also Explored These Related Economics Questions!

Consider the following statements. ____ 1. A reason companies invest in other companies is to build strategic alliances. ____ 2. All companies are required to pay dividends to their investors. ____3....

Study the four accompanying diagrams. Consider the following statements and indicate which diagram matches each statement. Which variable would appear on the horizontal and which on the vertical...

Consider the following statements, based on a positive economic analysis that assumes that all other things remain constant. For each, list one other thing that might change and thus offset the...

16. Consider the following statements, based on a positive economic analysis that assumes that all other things remain constant. For each, list one other thing that might change and thus offset the...

Chapter 1 The Nature of Economics - Does the phrase "unlimited wants and limited resources" apply to both a low-income household and a middle-income household? Can the same phrase be applied to a...

15. Consider the following statements, based on a positive economic analysis that assumes all other things remain constant. For each, list one other thing that could independently change in a way...

Write a sentence contrasting positive and normative economic analysis. 1-12. 1-13. Based on your answer to Problem 113, categorize each of the following conclusions as resulting from positive...

Choose the correct answer Multiple Choice: Write the letter of correct answer on the space provided before each number. 1. A contract that can stand by itself is known as: a. Accessory contract b....

Chapter 9 Performance Management Skills A leader becomes complete only after giving something back. LAURENCE S. LYONS LEARNING OBJECTIVES By the end of this chapter, you will be able to do the...

Consider a finite population with five elements labeled A, B, C, D, and E. Ten possible simple random samples of size 2 can be selected. a. List the 10 samples beginning with AB, AC, and so on. b....

Sheffield Corp. issues 1500, 10-year, 8%, $1000 bonds dated January 1, 2017, at 98. The journal entry to record the issuance will show a credit to Cash for $5488000. credit to Bonds Payable for...

1. Two firms compete in a Cournot fashion. Firm 1 successfully engages in an activity that raises its rivals marginal cost of production. (LO2) a. Provide two examples of activities that might raise...

The marginal revenue curve of a monopoly crosses its marginal cost curve at $30 per unit and an output of 2 million units. The price that consumers are willing to pay for this output is $40 per unit....

On July 5, 1884, Dudley, Stephens, and Brooksall able-bodied English seamenand a teenage English boy were cast adrift in a lifeboat following a storm at sea. They had no water with them in the boat,...

On what basis might the federal district court in Illinois exercise jurisdiction in this case? Stan Garner resides in Illinois and promotes boxing matches for SuperSports, Inc., an Illinois...

a)What type of tests could you conduct that would allow you to compare each treatment group to the other (2 at a time) without inflating the type I error ()? b)Why is it important to make sure you do...

The different types of samplings are: A. Probability B. Judgement C. Mixed D. Probability, judgement and mixed. If the sample size is too small, it may not _______________ represent the population or...

Job is determined that he can afford to pay $800 per month toward purchasing a new convertible sports car. Job notices an advertisement in the paper for a bank loan at the rate of 8% pa and he wants...