According to the Law of Demand an Increase in the Price

question 130

Multiple Choice

According to the law of demand an increase in the price of gasoline will:

• A) increase the quantity demanded of gasoline, other things constant.
• B) decrease the quantity demanded of gasoline, other things constant.
• C) increase the demand for gasoline.
• D) decrease the demand for gasoline.

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Definitions:

Wage Bill

the total amount of money paid by employers to their employees for work performed, typically within a specific period.

Wage Rate

The standard amount of compensation individuals receive in exchange for performing work or services, typically expressed per hour or year.

Profit-Maximizing Number

The output level at which a business achieves the highest possible profit, determined by analyzing costs and revenue functions.

Profit-Maximizing Firm

A business entity that seeks to achieve the highest possible profits through its operations and strategies.