Which of the following factors is associated with products with a highly price elastic demand?
a. Few close substitutes.
b. A very short time period for consumers to respond to price changes.
c. Many very close substitutes.
d. A per unit price that is only a very small portion of most peoples' budgets.
c
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Other things remaining the same, which of the following is likely to cause a decrease in both the wage rate and the number of workers hired in a glass factory?
A) The introduction of labor-saving technology in the factory B) The introduction of labor-complementary technology in the factory C) A decrease in the population in the region where the factory is located D) An increase in the population in the region where the factory is located
In September 2010, the finance minister of ________ declared that the world was "in the midst of an international currency war" because of rapid appreciation in the value of the country's currency, the ________
A) England; pound sterling B) Germany; euro C) Japan; yen D) China; renminbi E) Brazil; Real
The poverty rate is defined as:
A. the percentage of low income earners to high income earners. B. the percentage of the population that falls below the absolute poverty line. C. the lowest one percent of all income earners. D. the percentage of the population that falls below the relative poverty line.
The three fundamental questions that any economy must address are
A) What will be the prices of goods and services; how will these goods and services be produced; and who will receive them? B) What goods and services to produce; how will these goods and services be produced; and who receives them? C) Who gets jobs; what wages do workers earn; and who owns what property? D) How much will be saved; what will be produced; and how can these goods and services be fairly distributed?