All else equal, compared to small-budget items such as paper towels, the price elasticity of demand for big-ticket items such as refrigerators is ________:
A. equal
B. very low
C. lower
D. higher
Answer: D
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Someone once said that Chevrolet is so large that if it shakes its tail, its takes two years for its head to notice it. This is an example of
a. profit centers b. economies of scale c. diseconomies of scale d. diminishing marginal returns e. diminishing marginal cost
In the early 1990s, economists became alarmed over the national debt because it
a. was larger than three months' GDP. b. was growing faster than GDP. c. had reached twice the size of GDP. d. was growing faster than private debt.
Achieving both environmental quality and economic prosperity is
a. represented at all points along the Kuznets Curve b. a view supported by the Nobel Laureate, Robert Solow c. the overall goal of sustainable development d. strictly a short-term objective
Which of the following contributes to an institutional structure that promotes economic growth?
A. Technology. B. Comparative advantage. C. Property rights. D. The inequality trap.