Assume Sally Is Initially in Equilibrium and That X and Y

question 267

Multiple Choice

Assume Sally is initially in equilibrium and that X and Y are normal goods for her. Then the price of X rises. For Sally to move to a new equilibrium point, her consumption of

• A) X must remain constant, but her consumption of Y must increase.
• B) X must decrease.
• C) X must increase.
• D) both X and Y must increase.

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Definitions:

Drop-Shipping

A retail fulfillment method where a store doesn't keep the products it sells in stock. Instead, when a store sells a product, it purchases the item from a third party and has it shipped directly to the customer.

Carbon Footprint

The total amount of greenhouse gases, including carbon dioxide and methane, that are emitted by our actions, directly or indirectly.

Corporate Social Responsibility

The practice of businesses integrating ethical, environmental, social, and economic concerns into their operations and decision-making process.

Corporate Social Responsibility

A business model whereby companies integrate social and environmental concerns in their operations and interactions with stakeholders.