The point elasticity is a measure of the sensitivity of consumers to a large price change - a range from one price to another
a. True
b. False
Indicate whether the statement is true or false
False
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When the marginal product is increasing as the quantity increases, then as the quantity increases, the
A) average product is decreasing. B) marginal cost is decreasing. C) total cost is decreasing. D) total product is decreasing. E) fixed cost is increasing.
The labor force participation rate is defined as the number of
a. unemployed individuals plus employed individuals divided by the number of individuals in the working-age population. b. employed individuals divided by the number of individuals in the working-age population. c. unemployed individuals plus employed individuals divided by the number of employed individuals. d. employed individuals divided by the number of individuals employed plus the number of unemployed individuals.
After downing three glasses of lemonade on a hot summer afternoon, Todd says, "You would have to pay me to drink another glass!" This statement best illustrates
a. the law of demand. b. the substitutability among goods. c. the law of diminishing marginal utility. d. that chocolate candy bars are an inferior good.
The figure below shows the national market for mopeds in a country. Dd and Sd are the domestic demand and supply curves of mopeds, respectively.
Calculate the welfare loss arising from the consumption effect of the tariff.
A. $14 million B. $5 million C. $2.5 million D. $7.5 million