If the Compensated (Hicks)and Marshall Demand Curves for a Good

question 8

Multiple Choice

If the compensated (Hicks) and Marshall demand curves for a good intersect,at that point the Marshall curve will be:

• A)flatter if this is a normal good.
• B)steeper if this is a normal good.
• C)flatter if this is an inferior good.
• D)horizontal.

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Definitions:

Gibbs Free Energy

A thermodynamic quantity representing the amount of usable energy in a system to perform work at constant temperature and pressure.

Equilibrium Constant

A numerical value that represents the ratio of concentrations of products to reactants at equilibrium in a chemical reaction.

Arrhenius Equation

An equation describing the rate of a chemical reaction as a function of temperature, providing a quantitative basis for the effect of temperature on reaction rates.

Ea

Activation energy, the minimum amount of energy required to initiate a chemical reaction.