Suppose that Ed's Fine Bottled Water supplies 35,000 quarts of bottled water each month when the price per quart is $0.80 . When the price of a quart increases to $1.20, supply is increased to 45,000 quarts each month. Calculate the absolute value of Ed's price elasticity of supply of water?
a. 0
b. 0.63
c. 1
d. 1.6
b
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The labor supply and demand most directly affect the level of ________ in an economy
A) people requiring retraining B) welfare benefits C) people attending colleges D) employment
An increase in aggregate demand will tend to cause which of the following?
A) a deflationary gap B) a recessionary gap C) cost-push inflation D) none of the above
Recall the Application about the marginal cost involved in producing crude oil to answer the following question(s).Recall the Application. If the price of oil is only $15 per barrel, which country is most likely to be selling crude oil?
A. Saudi Arabia B. the United States C. Canada D. Norway
Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. The economy is currently at Point A. The opportunity cost of moving from Point A to Point B is the
A. 30 LCD televisions that must be forgone to produce 60 additional OLED televisions. B. 90 LCD televisions that must be forgone to produce 20 additional OLED televisions. C. 30 LCD televisions that must be forgone to produce 20 additional OLED televisions. D. 120 LCD televisions that must be forgone to produce 40 additional OLED televisions.