Which of the following goods is likely to have the most price inelastic demand?
a. margarine
b. Tide detergent
c. cigarettes
d. Coca-Cola
e. ground beef
C
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A decrease in gross domestic product (GDP) necessarily means that consumer welfare has decreased
a. True b. False Indicate whether the statement is true or false
Define the efficient markets hypothesis
Refer to Game Matrix V. Which of the following values of X and Y result in there being no pure strategy Nash Equilibrium?
a. X = 21, Y = 9. b. X = 19, Y = 11. c. X = 31, Y = 11. d. There will always be at least one pure strategy Nash Equilibrium in this game.
Based on the figure below. Starting from long-run equilibrium at point C, a tax increase that decreases aggregate demand from AD1 to AD will lead to a short-run equilibrium at point ________ and eventually to a long-run equilibrium at point ________, if left to self-correcting tendencies.
A. D; C B. D; B C. A; B D. B; C