TRUE OR FALSE 1) When the price of a substitute rises, demand for the original good increases 2) When the price of a complement rises, demand for the original good increases

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TRUE OR FALSE

1) When the price of a substitute rises, demand for the original good increases

2) When the price of a complement rises, demand for the original good increases. 

3) When income rises, demand for an inferior good increases.

4) When income rises, demand for a normal good decreases.

5) When tastes change in favor of a good, demand for the good decreases.

6) When tastes change against a good, demand for the good decreases. 

7) When the price is expected to fall in the future, demand for the good decreases today. 

8) When the price of a complement falls, demand for the original good increases. 

9) When the price of a good rises firms are willing to supply more of it.

10) A rise in the expected price of a good will increase supply, shifting the supply curve to the left.

11) Cost-saving technological advances increase the supply of a good, shifting the supply curve to the right.

12) The increased price of an input causes a decrease in supply causing a downward movement in the supply curve.

13) The rise in prices of baking supplies in producing loaf bread would cause a shift in the supply curve.

14) The price of onions increases sharply causing a shift in the supply curve of onions to the right.

15) The law of supply states that producers are willing to sell less of a good or service at a lower price.