Assume the demand for a good is price inelastic, i.e., ed < 1 (in absolute value). This means that if price decreases by 50 percent, quantity demanded will:
A) increase by more than 50 percent.
B) decrease by more than 50 percent.
C) increase by less than 50 percent.
D) decrease by less than 50 percent.
C
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Monopolistic competition is efficient when compared to
A) perfect competition. B) complete product uniformity. C) the short run. D) the long run. E) None of the above answers is correct.
According to the World Bank, the high-income oil-exporting nations like Libya, Saudi Arabia, Kuwait, and the United Arab Emirates:
a. are considered to be still-developing countries. b. are the major trade partners of the U.S. c. are considered as underdeveloped economies. d. have highly interdependent economies. e. are considered highly-developed countries.
When total utility is at a maximum, marginal utility is
a. zero b. positive c. negative d. one e. infinite
Changes in the price of other goods lead to
A. a change in quantity demanded. B. a change in demand. C. a movement along the demand curve. D. no change in the demand curve.