When economists want to obtain a measure of the responsiveness of quantity demanded to changes in price, they use
A) the slope of the demand curve.
B) the price elasticity of demand.
C) the unit change in quantity demanded.
D) the cross-price elasticity of demand.
Answer: B
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Assume a market is in equilibrium. There is an increase in supply, but no change in demand As a result the equilibrium price ________, and the equilibrium quantity ________
A) rises; increases B) rises; decreases C) rises; does not change D) falls; decreases E) falls; increases
In what way do owners of stocks have limited liability?
What will be an ideal response?
A decrease in matching efficiency
A) can never happen. B) is due to a change in the productivity of firms. C) is not related to sectoral shocks. D) can explain the shift in the Beveridge curve.
Firms in perfect competition are often described as price
a. takers. b. makers. c. setters. d. leaders.