The demand for a product is likely to be more elastic:
a. the smaller the share of the total budget spent on the product.
b. when more complementary products are available.
c. in the short run than in the long run.
d. when more good substitutes for the product are available.
d
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The net factor income from the rest of the world (NFIFA) appears in the Irish Balance of Payments as:
(a) A credit item in the current account; (b) A debit item in the current account; (c) A debit item in the capital account; (d) A debit item in the financial account.
In the specificfactors model, how will immigration affect the sending country's production possibilities frontier?
a. It will shift it to the right. b. It will shift it to the left. c. It will not affect its production possibilities curve. d. Immigration will first shift it to the left, then shift it back to its original position.
Which of the following statements is true?
A) In Romania under Communist Party rule in the 1980s, Kent cigarettes served as a medium of exchange. This illustrates the use of Kent cigarettes as fiat money. B) Commodity money has no value apart from its use as money. C) In Romania under Communist Party rule in the 1980s, Kent cigarettes served as a medium of exchange. This illustrates the use of Kent cigarettes as commodity money. D) Fiat money must be backed by gold; otherwise it is worthless.
If the price of housing (which accounts for 40 percent of total expenditures in the CPI basket), rises by 10 percent in one year while the prices of all other goods rises by 27 percent, by how much will the CPI rise?
A. 234 percent B. 10 percent C. 27 percent D. 20 percent