Assume the elasticity of of supply for a particular good has been estimated to equal 1.8. In this case, a 10 percent increase in product price would cause the quantity supplied to:
A) decrease by 1.8 percent.
B) increase by 1.8 percent.
C) decrease by 18 percent.
D) increase by 18 percent.
D
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The economy’s self-correcting mechanism tends to push the unemployment rate back to a specific rate of unemployment. How?
What will be an ideal response?
Average cost is the cost of producing the next unit.
Answer the following statement true (T) or false (F)
The average income tax rate is:
a. income taxes divided by income. b. income divide by income taxes. c. the change in income taxes when income changes one dollar. d. the change in income when income taxes change one dollar.
Assume that the hourly price for the services of tarot card readers has risen and sales of these services have also risen. One can conclude that
A) the law of demand has been violated. B) the number of tarot card readers has increased. C) the demand for tarot card readers has increased. D) tarot card readers are deliberately charging high prices because they provide services for superstitious clients.