When a supply curve is relatively flat,
a. sellers are not very responsive to changes in price.
b. supply is relatively inelastic.
c. supply is relatively elastic.
d. Both a and b are correct.
c
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It the marginal social benefit from contributions to charities is the same for all individuals who give to charities, then allowing individuals to deduct charitable contributions from their income taxes cannot serve as a Pigouvian subsidy under a progressive income tax system.
Answer the following statement true (T) or false (F)
The most common form of business organization in the United States is the sole proprietorship
a. True b. False
In the short run, total spending affects ________, and in the long run total spending affects ________.
A. prices; unemployment B. output; unemployment C. prices; output D. output; prices
Exhibit 3-5 Supply for Tucker's Cola Data Quantity supplied per week(millions of gallons) Price pergallon 6 $3.00 5 2.50 4 2.00 3 1.50 2 1.00 1 .50 In reference to Exhibit 3-5, assume the price of Tucker's Cola is $1.00 per gallon. If the price were to rise to $3.00 per gallon, and all other factors, such as taxes, etc. remained constant, the result would be a(n):
A. decrease in supply. B. increase in supply. C. decrease in quantity supplied. D. increase in quantity supplied.