As the demand for corn increases to provide input for ethanol production, what is expected to happen to the price elasticity of corn supply?
A) It will decrease.
B) It will become zero.
C) It will increase.
D) It will not change.
A
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U.S. Treasury bonds owned by U.S. households, institutions, and government entities are referred to as
A. Internal debt. B. Debt refinancing. C. Debt servicing. D. External debt.
If purchasing-power parity holds, then the value of the
a. real exchange rate is equal to one. b. nominal exchange rate is equal to one. c. real exchange rate is equal to the nominal exchange rate. d. real exchange rate is equal to the difference in inflation rates between the two countries.
Which of the following is not a concern about nudge policies?
A. It is unclear that government knows best. B. Designing helpful policies is complicated. C. Nudge policy is not strong enough to have much of an effect. D. Very few policies meet the criterion of libertarian paternalism.
A 4% decline in the price of laser printers causes the quantity demanded to rise by 8%. The demand for laser printers is
A. perfectly elastic. B. elastic. C. unit elastic. D. inelastic.