The Law of Demand Concludes That a Rise in the Price

question 191

Multiple Choice

The law of demand concludes that a rise in the price of a golf ball ________ the quantity demanded and ________.

• A) increases; shifts the demand curve for golf balls rightward
• B) decreases; shifts the demand curve for golf balls leftward
• C) decreases; creates a movement up along the demand curve for golf balls
• D) increases; creates a movement down along the demand curve for golf balls

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Definitions:

Negative Income Tax

A proposed form of welfare where individuals earning below a certain threshold receive supplemental pay from the government instead of paying taxes.

Top 20%

Refers to the highest earning or most successful 20% of a population or group in a specific context.

Negative Income Tax

A fiscal mechanism where individuals earning below a certain threshold receive supplemental pay from the government instead of paying taxes.

Subsidy

A financial contribution provided by the government or another body to support an industry, business, or individual.