When the price of a product is increased 10 percent, the quantity demanded decreases 15 percent. The price-elasticity of demand coefficient for this product is
What will be an ideal response?
1.5.
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The four somewhat overlapping theories of how the entrepreneur is able to earn a profit are: (1) ___________; (2) ___________; (3) ___________; and (4) ____________.
Fill in the blank(s) with the appropriate word(s).
When money is used to purchase goods and services, it serves as a:
A. medium of exchange. B. store of value. C. unit of account. D. double coincidence of wants.
The impact on world well-being of an export subsidy and a countervailing duty (of the same size as the subsidy) is
A. negative due to overproduction. B. negative due to under-consumption. C. negative due to deadweight loss. D. zero.
The statement “Resources employed in producing X are better suited to making Y” is another way of saying resources
A. are specialized. B. are scarce. C. are used inefficiently. D. are unproductive. E. have no opportunity cost.