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:

Hyoid Bone

A horseshoe-shaped bone situated in the anterior midline of the neck between the chin and the thyroid cartilage.

Clavicle

A long bone that serves as a strut between the shoulder blade and the sternum or breastbone, also known as the collarbone.

Axial Skeleton

The part of the skeleton that consists of the bones of the head and trunk, including the spine, rib cage, and skull.

Scapula

A flat, triangular bone located at the back of the shoulder, serving as an important attachment site for several muscles.