Chapter 14 Test Review
1. Demand and supply analysis is particularly important if
a. the success of your firm is closely linked to the profitability of your primary industry
b. the success of your firm is independent of the profitability of your primary industry
c. the success of your firm is unlikely
d. demand and supply analysis is unimportant
ANSWER: a
2. If movie theatres decided to increase the price for the movie tickets, holding other factors constant,
what would happen to ...