Macroeconomics-demand,sup...

1. With a downsloping demand curve and an upsloping supply curve for a product, an increase in cosumer income will.
a) increase equilibrium price and quantity if the product is a normal good.
b) decrease equlibrium price and quantity if the product is a normal good.
c) have no effect on equilibrium price and quantity.
d) reduce the quantity demanded, but not shift the demand curve.

I think answer is C correct?

2.If an increase occurs in the demand for product X, all of the following will occur EXCEPT:
a) an increase in the profits of industry X
b) an increase in the demand for resources employed by industry X.
c) an increase in the output of industry X.
d) a decrease in the price of resources employed in industry X.
I think D is the correct answer.

Answer:
1A
the definition of a normal good is that when income goes up
, the quantity demanded of normal goods goes up as well

2D
an increase in the demand for product x goes up--> the quantity supplied goes up--> demand for inputs goes up--> price for inputs goes up
By the way, you're asking microeconomic questions...

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