Assuming That Dry Cleaning Is a Normal Good, an Increase

question 347

Multiple Choice

Assuming that dry cleaning is a normal good, an increase in consumer income, other things being equal, will:

• A) increase the demand for dry cleaning.
• B) decrease the demand for dry cleaning.
• C) increase the quantity demanded of dry cleaning.
• D) decrease the quantity of dry cleaning demanded.

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Definitions:

Personal Power

Describes an individual's ability to influence or control the circumstances of their own or others' lives.

Formal Hierarchy

A formal hierarchy is an organizational structure where individuals and groups are ranked according to levels of authority, responsibility, and status within the organization.

Zone Of Indifference

A range within which attempts to influence a person will be perceived as legitimate and accepted without critical thought.

Psychological Contract

Is an unwritten set of expectations about a person’s exchange of inducements and contributions with an organization.