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A Newspaper Headline Asserts: "Rising Demand Pulls Up Gold Prices

Question 64

Multiple Choice

A newspaper headline asserts: "Rising demand pulls up gold prices". This headline:


A) asserts incorrectly that demand determines price (rather than price determining demand) .
B) makes good economic sense.
C) implies that prices will fluctuate indefinitely.
D) implies incorrectly that more gold would be demanded at higher prices.

Correct Answer:

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