In 1975, New York City increased regulated taxi fares by 17.5 percent and expected taxi revenue to increase a like amount. The taxi commission believed taxi demand was
A. unit elastic.
B. inelastic.
C. elastic.
D. perfectly inelastic.
Answer: D
You might also like to view...
The zero lower bound on the nominal interest rate arises because
A) if the nominal interest rate were less than zero, an arbitrage opportunity would exist. B) bank profits must be zero. C) the government would not allow it. D) the economy would crash.
Refer to the above table. If the price of the good produced is $10 and the wage rate is $500, then the marginal revenue product of the 5th worker is
A) $10. B) $50. C) $750. D) $4,750.
The labor force consists of all adults who are currently employed
a. True b. False Indicate whether the statement is true or false
Money is used as a unit of account. This means
a. money cannot store value for use in the future. b. money is used to measure the exchange value and costs of goods, services, assets and resources. c. money has little or no intrinsic value. d. money is dependent on the quantity of gold held by the Federal Reserve.