If the percentage change in the price of a good is less than the resulting percentage change in the quantity demanded of that good, then the demand for that good is:
A. unit elastic.
B. inelastic.
C. elastic.
D. perfectly inelastic.
Answer: C
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A firm raises the price it charges. The firm's total revenue does not change. What can we conclude about the price elasticity of demand?
A) Demand is elastic. B) Demand is unit elastic. C) Demand is inelastic. D) Demand is perfectly elastic. E) Not enough information is given to conclude anything about price elasticity of demand.
U.S. macroeconomic data show that a stable Phillips curve existed during the 1960s
a. True b. False Indicate whether the statement is true or false
When we say investment in economics we are talking about:
A. stocks. B. bonds. C. physical capital. D. None of these are examples of investment in economics.
During the past several decades, foreign aid to sub-Saharan Africa
a. has been smaller than the aid to other regions, but the reduction in the extreme poverty rate has been larger in Africa than in other areas of the world. b. has been larger than the aid to other regions, but the reduction in the extreme poverty rate has been smaller in Africa than in other areas of the world. c. has declined and as a result the poverty rate in sub-Saharan Africa has risen sharply. d. has risen and, as a result, the poverty rate in sub-Saharan Africa has declined substantially.