Answer the following questions true (T) or false (F)
1. If demand for a product is perfectly inelastic, a change in price will not change total revenue.
2. Suppose the absolute value of the price elasticity of demand for basketball game tickets on your campus is greater than 1. Increasing ticket prices will increase the total revenue from ticket sales.
1. FALSE
2. FALSE
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A unit of account is
A) anything that is generally accepted in exchange for goods and services. B) a common measurement in which relative values are expressed. C) an item's ability to hold value over time. D) the exchange of goods and services for other goods and services. E) both a and d
Explain the difference(s) between a debit card and a credit card.
What will be an ideal response?
Figure 34-4
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In Figure 34-4, the opportunity cost of a unit of wheat in terms of cotton is
A. 1 for the United States and 5 for Egypt. B. 20 for the United States and 2 for Egypt. C. 1 for the United States and 2 for Egypt. D. 20 for the United States and 10 for Egypt.
Why were the U.S. government budget deficits of the 1980s and early 1990s so unusual from a historical point of view?
A. It was the first time that deficits diverted funds from other productive uses, such as investment in modern equipment. B. It was the first time that deficits were accompanied by very high rates of inflation. C. In the past, deficits were usually that large only in wartime. D. It was the first time the U.S. government had ever run deficits.