Question

Question 7 (3 points) If the price of K declines, the demand curve for the complementary product J will: a) remain unchanged. b) shift to the right. (D c) shift to the left. d) decrease. Question 8 (3 points) The law of supply indicates that: a)l producers will ofer more of a product at low prices than they will at high prices. b) consumers will purchase less of a good at high prices than they will at low prices the product supply curve is downsloping d) producers will offer more of a product at high prices than they will at low prices. Question 9 (3 points) If the supply of a product increases and the demand for that product also increases, we can conclude that equilibrium a) quantity must increase, but b) price and equibrium quantity must both decline. c) price must rise, but equilibrium quantity may either rise, all, or remain di price and equilibrium quantity must both increase Answer the next tour auestons on the barets of the tolowing lot which applie to demand"

Answer 1

1) If the price of K declines, the demand curve for the complementary product J will

shift to the right

2) The law of supply indicates that:

producers will offer more of a product at high prices than they will at low prices.

3) When both demand and supply increases then,

Quantity will increase but the equilibrium price may either rise,fall or stay the same depending upon the change in demand and supply