Consumers Who Traded in a Used Car for a New

question 175

Multiple Choice

Consumers who traded in a used car for a new vehicle under the Cash-for-Clunkers program received a voucher worth up to $4,500 to offset the price of the consumer's new vehicle. What effect did that program's requirement to destroy all trade-in cars have on the market for used cars?

• A) The supply of used cars increased, decreasing the price of used cars.
• B) The supply of used cards decreased, increasing the price of used cars.
• C) The demand for used cars increased, increasing the price of used cars.
• D) The demand for used cars decreased, decreasing the price of used cars.

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Definitions:

Causal Relationship

A connection between two variables where a change in one directly causes a change in the other.

Archival Research

A method in research involving the study of historical documents and records to obtain data and insights relevant to a given topic or field.

Legal Equality

The principle that all individuals are subject to the same laws, with equal access to legal protection and opportunities.

Male Control

The dominance of male figures in decision-making processes and structures, contributing to gender imbalances.