The total revenue test says that if a price decrease leads to
A) an increase in total revenue, demand is income elastic.
B) a decrease in total revenue, demand is income inelastic.
C) a decrease in total revenue, demand is price inelastic.
D) a decrease in total revenue, supply is price inelastic.
E) a decrease in total revenue, supply is price elastic.
C) a decrease in total revenue, demand is price inelastic.
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A monopsony has an upward sloping supply curve because
A) diminishing marginal product to scale does not exist in a monopsony. B) each additional unit of labor costs less. C) when more units of labor are hired, all laborers must receive the higher wage. D) when more units of labor are hired, only the new workers receive the higher wage.
In a free trade area, member nations have no trade barriers among themselves, but are free to set their own trade policies toward nonmembers
a. True b. False Indicate whether the statement is true or false
The problem arises with principals and agents when the goals of the agent are incompatible with those of the principal and when the agent cannot pursue hidden actions
Indicate whether the statement is true or false
If the interest rate is 5 percent, what is the present value of $10,000 received three years from now?
A. 9530.35 B. 8075.50 C. 8638.38 D. 7550.75