When a Third Party Pays a Larger and Larger Share

question 215

Multiple Choice

When a third party pays a larger and larger share of the purchasing price of a good, economic theory indicates that the

• A) demand for the good will decline.
• B) consumers of the good will have less and less incentive to economize on its use.
• C) suppliers of the good will have a stronger incentive to provide the good at low prices.
• D) prices of the good will tend to decline with the passage of time.

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Definitions:

Paleoanthropological

Relating to the study of the origins and predecessors of the present human species, focusing on the fossil record and artifacts.

Ethnology

The comparative study of cultures and peoples, including their customs, habits, and mutual differences.

Culture Groups

Clusters of individuals who share the same cultural practices, norms, and values, distinguishing them from other groups within a larger society.

Globalization

The process of increased interconnectedness and interdependence among countries globally, through trade, technology, culture, and politics.