Introduction to Economics 1 Deneme Sınavı Sorusu #725872

Imagine that a person fuels up his car since he thinks that the price of gasoline will go up soon. Which of the following is the motive in buying gasoline?


Expectations

Substitute goods

Number of buyers

Complimentary goods

Prices of related goods


Yanıt Açıklaması:

Expectations: If consumers expect that the price of a certain good will go up in the near future, their current demand curve shifts upwards as they rush to purchase that good before it gets expensive. Number of Buyers: Turkey has experienced a large wave of internal migration during the last couple of decades. Therefore, urbanization rate increased. More people live in urban areas now. These people demanded housing services and the demand for apartments in urban areas shifted upwards. Substitute goods: If two products are substitutes for each other, a change in the price of one product will change the demand for the other product in the opposite direction. For example, if the price of chicken goes down, the demand for beef will shift down to the left. As chicken is a substitute product for beef, a fall in the price of chicken will increase the consumption of chicken and the quantity demanded in the beef market will fall for all possible levels of price. Related goods: All or most of your consumption decisions involve tradeoffs and require making choices among different products. Changes in the prices of certain products definitely influence your purchasing decisions about other products. If meatballs get very expensive, then you will probably switch to pizza, as pizzas are substitutes for meatballs. If prices of CDs/DVDs increase sharply, the demand for CD/DVD players is expected to decline, as CDs/ DVDs and players are complements. Complimentary goods: Two goods are said to be complements if they are generally or necessarily consumed together, such as tea and sugar cubes or printers and ink cartridges. The correct answer is Choice A.

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