Cross-price elasticity refers to
A. How responsive consumers are to a change in price.
B. How responsive consumers are to a change in income.
C. How responsive consumers are to a change in quantity demanded.
D. How responsive consumers of one good are to a change in the price of another good.
Answer: D
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The supply curve is positively sloped because
a. profit levels always rise with output b. MC rises as Q rises, so firms must charge a higher P as Q increases c. as Q increases, TC rises proportionately faster thanQ, so price must rise with output d. none of the above e. both b. and c. are correct
In 2013, which of the following countries’ exports of goods and services as a percentage of GDP exceeded 50%?
a. United States b. Canada c. India d. Korea
Individual banks always respond quickly and significantly to changes in the discount rate
a. True b. False Indicate whether the statement is true or false
Managed equity funds
A) that have yielded attractive returns during the recent past can generally be counted on to yield similar returns in the future. B) are tied directly to either the Consumer Price Index or Producer Price Index. C) generally outperform indexed equity mutual funds. D) that yielded a high rate of return in the recent past often perform poorly in the future.