Question
Your friend tells you that demand for gasoline in the United States increases in the summer because people travel more, and this causes the price
Your friend tells you that demand for gasoline in the United States increases in the summer because people travel more, and this causes the price of gas to increase in the summer. The friend argues that this is evidence that the "law of demand" doesn't apply for gasoline. Is the friend right or wrong?
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Step: 1
Your friend is wrong The Law of Demand states that all else being equal as the price of a good or se...
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Managerial Economics and Business Strategy
Authors: Michael R. baye
7th Edition
978-0073375960, 71267441, 73375969, 978-0071267441
