A Decrease in the Price of GPS Systems Will Result

question 198

Multiple Choice

A decrease in the price of GPS systems will result in

• A)a smaller quantity of GPS systems supplied.
• B)a larger quantity of GPS systems supplied.
• C)a decrease in the demand for GPS systems.
• D)an increase in the supply of GPS systems.

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Definitions:

Budget Line

A graphical representation of all possible combinations of two goods that can be purchased with a given budget, given the prices of the goods.

Money Income

The total earnings received by an individual or household, including wages, salaries, and other income forms, usually before taxes.

Budget Line

A graphical representation of all possible combinations of two goods that can be purchased with a given income and prices.

Good X

generally refers to an unspecified product or commodity in economic models or discussions.