Owen had a typewriter shop,but he went out of business because no one buys typewriters anymore.Which economic principle does this statement BEST represent?
A)Choices are necessary because resources are scarce.
B)People usually respond to incentives,exploiting opportunities to make themselves better off.
C)Markets move toward equilibrium.
D)One person's spending is another person's income.

Question

Quizplus · Accepted Answer

The statement reflects the principle that one person's spending is another person's income. As people stopped buying typewriters, Owen's income decreased, leading to his business closure.

Owen Had a Typewriter Shop,but He Went Out of Business