If income falls 4 percent for a year and as a result the quantity of new homes demanded falls from 23 million to 20 million units for the year, the value of the income elasticity of demand for new homes is closest to
A. 3.5.
B. 2.9.
C. 0.6.
D. 1.8.
Answer: A
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If the demand for a good is determined to be "inelastic," then the elasticity measure
A) is greater than 1.0. B) is equal to 1.0. C) is less than 1.0. D) is infinite.
A ____________ is an organization of workers that negotiates with employers over wages and working conditions.
a. guild b. labor union c. professional association d. lobby
Suppose Bart's MRS for sodas with chips is 6 bags of chips per soda. Also assume that Lisa's MRS for sodas with chips is 8 bags of chips per soda. Assuming that these rates of substitution don't depend on the amounts consumed, which of the following trades would make Bart and Lisa better off?
A. Bart gives Lisa 9 bags of chips in exchange for a soda. B. Bart gives Lisa 7 bags of chips in exchange for a soda. C. Bart gives Lisa 6 bags of chips in exchange for a soda. D. None of these trades is mutually beneficial.
Since the 1960s, development proceeded without many natural resources in
A. Canada. B. Japan. C. Saudi Arabia. D. all of the options are correct.