An invention that speeds up the Internet is an example of
A)an income effect.
B)an increase in labor.
C)a substitution effect.
D)a supply shock.

Question

Quizplus · Accepted Answer

An invention that speeds up the Internet would be an example of a supply shock, as it would increase the supply of Internet services and potentially lower the cost for consumers. It is not an income effect or an increase in labor, as there is no direct impact on income or labor supply. It is also not a substitution effect, which is a change in consumer behavior due to a change in relative prices of goods.

An Invention That Speeds Up the Internet Is an Example