Question : 41) A reduction in the cost of cable TV subscriptions : 1238416

41) A reduction in the cost of cable TV subscriptions will ________ the ________  for  televisions.

A) increase; supply

B) increase; demand

C) decrease; supply

D) decrease; demand

E) None of the above is correct.

42) Which of the following shifts the demand curve for movies rightward?

A) an increase in the price of NetFlix, a substitute for movies

B) an increase in the price of movie tickets

C) a decrease in the price of move tickets

D) an increase in movie star salaries

E) an increase in the price of HDTV sets

43) Which of the following shifts the demand curve for movies leftward?

A) a decrease in the price of NetFlix, a substitute for movies

B) a decrease in the price of movie tickets

C) an increase in the price of movie tickets

D) an increase in movie star salaries

E) an increase in incomes, assuming movies are a normal good

44) Two brands of water, Natural Water and Mountain Water, are close substitutes. If the price of Mountain Water decreases, the fall in price

A) shifts the demand curve for Natural Water rightward.

B) shifts the demand curve for Natural Water leftward.

C) increases the price of Natural Water.

D) increases the demand for Mountain Water.

E) More information is needed to determine if the demand curve for Natural Water shifts rightward or leftward.

45) Car insurance and cars are complements. If the price of car insurance increases, the

A) demand for cars decreases.

B) demand for cars increases.

C) quantity of cars demanded decreases.

D) quantity of cars demanded increases.

E) More information is needed to determine if the demand increases or decreases.

46) Consumers eat salsa with taco chips. The price of salsa rises. How does the increase in the price of salsa affect the demand for taco chips?

A) It decreases the demand for taco chips.

B) It increases the demand for taco chips.

C) It has no effect on the demand for taco chips.

D) It will decrease the demand for taco chips only if taco chips are a normal good.

E) It could increase, decrease, or have no effect on the demand for taco chips, but more information is needed to determine the impact.

47) What happens to the demand for a good if a complement’s price increases?

A) The demand decreases and the demand curve shifts rightward.

B) The demand increases and the demand curve shifts rightward.

C) The demand decreases and the demand curve shifts leftward.

D) The demand increases and the demand curve shifts leftward.

E) There is no impact on demand for the good and the demand curve does not shift.

48) Hot dogs and hot dog buns are complements. If the price of a hot dog falls, then

A) the demand for hot dogs will increase.

B) the demand for hot dog buns will decrease.

C) the quantity demanded of hotdogs will decrease.

D) the demand for hot dog buns will increase.

E) the quantity demanded of hot dog buns will increase.

49) A popular dinner among college students today is sushi, green tea, and wasabi dip so these foods are complements. If the price of green tea increases and the price of wasabi dip increases, what would be the effect on demand for sushi at lunch?

A) The demand for sushi would decrease.

B) The demand for sushi would be unaffected, but the price would increase.

C) The demand for sushi could increase or decrease.

D) The demand for sushi would increase.

E) The demand for sushi would be unaffected, but the price would decrease.

50) Soda and hot dogs are complements for one another. If a shortage of carbonated water leads to an increase in the price of soda, then the

A) demand for hot dogs increases.

B) demand for hot dogs decreases.

C) quantity of hot dogs demanded increases.

D) quantity of hot dogs demanded decreases.

E) More information is needed to determine if the demand increases or decreases.