If New York City expects that an increase in bus fares will raise mass transit revenues, it must think that the demand for bus travel is:
A. elastic.
B. unit elastic.
C. inelastic.
D. perfectly inelastic.
Answer: C
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Suppose the U.S. population is 275 million. If 210 million people are of working age, 135 million are employed, and 6 million are unemployed, what is the labor force participation rate?
A) 49 percent B) 67 percent C) 64 percent D) 51 percent E) 76 percent
________ are in place when a country's government places restrictions on the conversion of the domestic currency into foreign currency or vice versa.
A. Official interventions B. Exchange controls C. Adjustable pegs D. Capital controls
In Figure 6.2, the producer surplus is:
A. $400. B. $300. C. $200. D. $100.
The research by Robert Hall on the theory of consumption suggests that the best forecast of consumption for next year would be
A) unpredictable. B) random. C) this year's consumption. D) last year's consumption.