Suppose that the elasticity of demand for a product is 2.0. What will happen to total revenue as a firm increases the price?
A. Total revenue will increase.
B. Total revenue will decrease.
C. Total revenue will stay the same.
D. It cannot be determined from the information provided.
Answer: B
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Refer to Figure 17-3. Panel D is appropriate when used to represent
A) the quantity of labor demanded by an input price taker. B) the quantity of labor supplied by someone working a fixed number of hours. C) the labor supply curve facing an input price taker. D) the highly-skilled labor market supply curve.
Where the planned expenditure and the 45-degree lines intersect, the economy is ________ equilibrium, with unplanned inventory investment equal to ________
A) in, zero B) out of, zero C) in, planned inventory investment D) in, autonomous planned expenditure E) out of, autonomous planned expenditure
During World War II, a labor shortage emerged in some markets. New recruits into the civilian labor force included
(a) teenage females. (b) married women. (c) retired people 65 years of age or older. (d) all of the above.
The Confederate government
(a) failed to increase its external debt and thus produced domestic inflation. (b) did not make the Confederate currency legal tender. (c) failed to raise sufficient resources because of unwillingness to increase the supply of paper money. (d) did none of the above.