Built-in stabilizers are done by the government to ensure the balance in the economy. The budget during deficit increases during a recession and also a budget increase in surplus comes during an expansion. It is an economic strategy reaction to deal with situations in the world market.
To solve for the cross-price elasticity of demand:
Take the quantity of the diamonds demanded and divide it by the decrease in the price of sapphires.
Cross-price elasticity of demand = 15/25
Cross-price elasticity of demand = 0.6
When you are solving for the cross-price elasticity of demand, you are seeing the response to the demand of a item when price changes for another good.
The correct answer for the question that is being presented above is this one: "C. commercial image." A mission statement that concentrates on how your 4 will affect your competitors, rather than focusing on your goals is called a/an commercial image statement.
An inferior good is a type of welfare whose demand decreases when consumer income increases or demand increases when consumer income decreases. Therefore, if a consumer considers shirts to be inferior goods, the way he will stop consuming it will be when there is a real increase in his income.
In the case narrated, Alex had an increase in salary and remained working for the same number of hours. This means that with the same job, he will have a higher income, meaning there was a real increase in Alex's income. If he considers the $ 3 shirts a much lower asset, he will lessen the demand for it.