For the following statement select True or False with two to five line explanations. EXPLANATION IS COMPULSORY

1. When there is a shortage of goods "X" in a market there is downward pressure on price of goods X.

2. Suppose that a decrease in the price of X results in less of good Y sold. This would mean that X and Y are complementary goods.

3. A change in income would NOT shift the demand curve for a good or service.

4. When we move up or down a given demand curve only price is held constant.

5. The downward-sloping demand curve reflects the price is positively related to quantity supplied.

6. According to the law of diminishing marginal utility addition in the consumption causes a reduction in total utility.

7. When Marginal Utility = 0, Total Utility is Maximum.

8. Indifference curve is downward sloping

9. Two indifference curves cannot cut each other because

10. A consumer's spending is restricted because of Budget constraint.

11. With fixed costs of $400, a firm has average total costs of $3 and average variable costs of $2.50. Its output is 800 units.

12. When marginal product reaches its maximum total product is increasing if marginal product is still positive

13. When the total product curve is falling, the marginal product of labor is negative.

14. The law of diminishing returns states that as a firm use more of a variable resource, given the quantity of fixed resources, marginal product of the firm will eventually decrease.