Demand is said to be ____ when the quantity demanded is very responsive to changes in price
a. independent
b. inelastic
c. unit elastic
d. elastic
d
You might also like to view...
If the principal has full information, production efficiency without supervision can occur with
A) a fixed-fee rental contract. B) a profit-sharing contract. C) an incentive-compatible contract. D) All of the above.
If the supply curve decreases while the demand curve remains unchanged, the equilibrium price would increase
a. True b. False Indicate whether the statement is true or false
In a perfectly competitive market, long-run equilibrium requires which of the following?
a. Allocative efficiency and productive efficiency b. Allocative efficiency and zero profits c. Productive efficiency and zero profits d. Productive efficiency and elasticity
If banks move a substantial portion of depositors' money from interest-earning checking accounts into money-market deposit accounts, how will the money supply measures be affected?
a. M1 will become smaller, and M2 will become larger. b. Both M1 and M2 will increase in size. c. Both M1 and M2 will decrease in size. d. The size of M1 will be reduced, but M2 will be unchanged.