If the demand for a product is price inelastic,
a. producers' revenues will increase if supply increases
b. producers' revenues will increase if supply decreases
c. a small change in price will cause a large shift in the demand curve
d. a large change in price will cause a small shift in the demand curve
e. a small change in price will cause a small shift in the demand curve
B
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In 2008, as the economy moved into a recession,
A) cyclical unemployment increased. B) structural unemployment decreased. C) natural unemployment decreased. D) frictional unemployment was not affected. E) the number of marginally attached workers decreased.
Neutral technological progress occurs when
a. higher output levels are achieved with the same quantity and combinations of factor inputs. b. higher output levels are achieved by more capital intensive methods. d. higher output levels are achieved by more labor intensive methods. e. higher output levels are achieved.
A key innovation of the Carter administration (1976-1980) was
a. dramatic expansion of Social Security and Medicare programs. b. large tax cuts, especially for the wealthy. c. deregulation of airlines, trucking, railroads and the financial services industry. d. government control of gasoline and food prices.
The outer loop of the circular-flow diagram represents the flows of dollars in the economy. Which of the following does not appear on the outer loop?
a. wages b. income c. capital d. rent