JuicY asked:
The comedian Chris Rock has suggested that one way to reduce gunshot deaths is by making bullets more expensive at $5,000 apiece. Assuming guns and bullets are complements, the effect of such a policy on the demand for guns would be:
A. A movement along the demand curve up and to the left
B. A shift of the demand curve to the right
C. A movement along the demand curve down and to the right
D. A shift of the demand curve to the left
Now what benefit do the makers of these guns and bullets get?
is a good choice!
Ok, it has been a few years since college economics and I am not going to dig out my books. But here are my thoughts…. If these are intentional murders.. we are going to see a huge increase in murders with other weapons such as knifes and god knows what else those sickos would think of.
If these are accidental and we raise the price of bullets we are going to see a slump in hunting, thus we have more deer running around, more cars will need to be replaced because more people will be hitting deer because they won’t be shot by hunters. There also could be a higher rates of crime in gun supply stores, hunters are going to steal bullets.
So to sum it up, if we raise the price of bullets car repair shops are going to get an increase in sales, and hunters are going to be charged with petty theft!