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Consider Cars and Gasoline

Question 16

Multiple Choice

Consider cars and gasoline. Other things being equal, when the price of cars decreases, the demand for gasoline is likely to


A) decrease because the two goods are complements.
B) remain unchanged because cars and gasoline are two distinct markets.
C) remain unchanged.
D) remain unchanged because cars and gasoline are produced independently of one another.
E) increase because the two goods are complements.

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