When demand is inelastic, a decrease in price will result in an increase in total revenue.
Answer the following statement true (T) or false (F)
False
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The aggregate production function shows how ________ varies with ________
A) leisure time; labor B) labor; leisure time C) real GDP; labor D) labor; capital
Other things equal, it can be concluded that in Figure 6-1, that
A. D1 is the more elastic demand curve than D2, but only below P2. B. D1 is the more elastic demand curve than D2. C. D1 is the less elastic demand curve than D2. D. D1 is the more elastic demand curve than D2, but only above P2.
If protective import-restricting tariff are imposed by a country, in the majority of cases that nation's consumers end up
A) paying a lower price and consuming more of the good than they otherwise would. B) paying a lower price and consuming less of the good than they otherwise would. C) paying a higher price and consuming less of the good than they otherwise would. D) paying a higher price and consuming more of the good than they otherwise would.
The phrases "once in, always in" and "once in, always grows" aptly describe a criticism of the Keynesian policy prescription for
a. the self-correcting nature of the economy b. moderating aggregate output c. closing a recessionary gap with government spending d. the balanced budget multiplier e. closing an inflationary gap