Demand will be more inelastic when
a. the time the consumer has to adjust to price changes is short.
b. the price of the good is high.
c. the number of good substitutes is large.
d. the consumption of the good is not very essential.
A
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Use the following graph to answer the next question. 
If the industry were served by a pure monopoly, the profit-maximizing price and quantity of output would be ________.
A. P1, Q1 B. P1, Q3 C. P3, Q1 D. P2, Q2
For an economy, the greater the value of the Gini co-efficient, _____
a. the greater will be the GDP. b. the greater will be the income inequality c. the greater will be the revenue of the government from direct taxes d. the greater will be the equality in the distribution of income and wealth e. the lesser will be the expenditure on the part of the government
Jacob is torn between two jobs, grounds keeper and street repair. He is indifferent between the two jobs even though the street repair job pays $25 more per hour. This must mean that
a. grounds keeper is a less attractive job b. grounds keeper enjoys a compensating wage differential of $25 c. the demand for street repairmen is greater d. street repair enjoys a compensating wage differential of $25 e. the demand for grounds keepers is greater
The monetary and fiscal stimulus response to the Great Recession resulted in an immediate increase in real GDP
a. True b. False Indicate whether the statement is true or false