A value of the absolute price elasticity of demand equal to 1.5 indicates that
A. a 1% increase in price leads to a 15% decrease in quantity demanded.
B. a 2% decrease in price leads to a 25% increase in quantity demanded.
C. a 10% increase in price leads to a 15% decrease in quantity demanded.
D. a 0.5% decrease in price leads to a 1% increase in quantity demanded.
Answer: C
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A) Excise tax B) Sales tax C) Corporate income tax D) Payroll tax
A double coincidence of wants means that
a. wanting a good means having the money to actualize that want b. goods satisfy wants as well as needs c. the goods you want are wanted by others as well d. if you want a good, you have to have something that the owner of the good wants e. if you want a good, it's strictly accidental whether the good you want will be supplied
Which of the following is true of the Industrial Revolution? a. It led to a twofold increase in the population of all nations
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