Refer to Goods X and Y. If the indifference curves are downward sloping straight lines (rather than convex curves), then we can conclude that
Assume that good X is on the horizontal axis and good Y is on the vertical axis in the consumer-choice diagram. PX denotes the price of good X, PY is the price of good Y, and I is the consumer's income. Unless otherwise stated, the consumer's preferences are assumed to satisfy the standard assumptions.
a. X does not affect the individual’s utility.
b. Y does not affect the individual’s utility.
c. both X and Y affect the individual’s utility.
d. neither good affects the individual’s utility.
c. both X and Y affect the individual’s utility.
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Which of the following policies would increase the growth rate of an economy in the endogenous growth model with human capital?
A) mandatory schooling. B) minimum wages. C) redistributive taxation. D) lump-sum taxation.
A research firm finding concluded that the price elasticity of demand for movie tickets is elastic in the afternoon but inelastic in the evenings. Given this information, to increase overall revenue the theatre owners should
a. Reduce the ticket prices for the afternoon shows and reduce the ticket prices for the evening shows b. Increase the ticket prices for the afternoon shows and reduce the ticket prices for the evening shows c. Reduce the ticket prices for the afternoon shows and increase the ticket prices for the evening shows d. Increase the ticket prices for the afternoon shows and increase the ticket prices for the evening shows
Increases in the supply of scientists and engineers can increase the level of
a. investment. b. consumption. c. government spending. d. technology.
Price increases will ________ a household's choice set.
A. decrease B. increase C. not change D. sometimes increase and other times decrease