Which of the Following Statements Is TRUE

question 123

Multiple Choice

Which of the following statements is TRUE?
I. Movies in a theater and movies at home could be substitute goods if the falling price of home entertainment equipment causes people to watch more movies at home and fewer in the theater.
II. Movies in a theater and movies at home could be complement goods if watching a lot of movies at home causes people to become more interested in movies, increasing their demand for movies in a theater.
III. If the cross-price elasticity of demand between movies in a theater and movies at home is 0.33, the two goods are complements.

• A) I only
• B) II only
• C) I, II, and III
• D) I and II

Comprehend the stages of business growth and factors leading to business success.

Understand the concept of price elasticity and inelasticity and factors influencing them.

Recognize the components of the marketing mix and their flexibility.

Describe the factors influencing the determination of the "right" price for products and services.

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Definitions:

Newspaper Article

A written work published in a newspaper that provides detailed information on current events, issues, or subjects of interest.

U.S. Supreme Court

The highest federal court in the United States, consisting of nine justices and having jurisdiction over all other courts in the nation.

Constitutionality

Constitutionality refers to whether a law or action is in accordance with the constitution of a country or jurisdiction.

Federal Law

Legislation enacted by the national government of a country.