Assume that consumer's income and the number of sellers in the market for good X both falls. Based on this information, we can conclude with certaintty that the equilibrium
A). Price will decrease
B). Price will increase
C). Quantity will decrease
D). Quantity will increase
The cost of one thing in terms of the alternative given up is called
A). Real cost
B). Production cost
C). Physical cost
D). Opportunity cost
The supply of a good refers to
A). Stock available for sale
B). Total stock in the warehouse
C). Actual production of the good
D). Quantity of the good offered for sale at a particular price per unit of time
Income elasticity of demand is defined as the responsiveness of
A). Quantity demanded to a change in income
B). Quantity demanded to a change in price
C). Price to a change in income
D). Income to a change in quantity demanded
An individual demand curve slopes downward to the right because of the
A). Working of the law of diminishing marginal utility
B). Substitution effect of decrease in price
C). Income effect of fall in price
D). All of the above