If the demand curve for a good is unit elastic within a specific price range, this implies that within that price range the
a. consumers do not react to a change in price
b. quantity demanded remains unchanged
c. good has no substitutes
d. good has no complements
e. percentage change in the quantity demanded equals the percentage change in price
E
You might also like to view...
Which of the following statements about employer prejudice is true?
a. It would be impossible for employer prejudice to exist in a firm that sells its output in a competitive market unless all rivals also discriminate. b. Economic theory tells us that it would be impossible for employer prejudice to exist in a firm that is a monopoly. c. Employer prejudice will help a monopolist to increase his profits by satisfying his managers personal prejudices. d. Legislation has ended employer prejudice in the United States. e. Employer prejudice occurs only in low-paying jobs.
If a decision maker uses marginal analysis, then the relevant costs are the
a. full costs of a particular activity or product. b. fixed costs which do not vary with the extra activity or output. c. profits obtained on the activity or product. d. average costs for a particular activity or product. e. additional costs of a particular activity or product.
A monopolist is best described as a price
a. taker. b. searcher. c. maker. d. follower.
What is meant by the skill-bias technological explanation of increasing inequality?
A. Inequality has increased because technological advances over the last 40 years have complemented the productivity of unskilled labor relative to foreign labor. B. Inequality has increased because technological advances have not kept pace with the demand for education. C. There has been increasing inequality over the last 40 years among high-skilled workers. D. There has been increasing inequality over the last 40 years because unskilled workers use no technology. E. Inequality has increased because technological advances over the last 40 years have complemented the productivity of skilled labor relative to unskilled labor.