If tolls on a toll road can be raised significantly before commuters will consider using a free alternative, then an increase in tolls will result in
A) an increase in total revenue. B) a decrease in total revenue.
C) a decrease in non-toll road usage. D) an increase in toll road usage.
A
You might also like to view...
Suppose Bank A holds $200 of reserves, has deposits of $1000, and the desired reserve ratio is 20 percent. How many deposits can Bank A create?
A) zero, because Bank A has no excess reserves B) $200 C) $800 D) $400
Refer to Figure 3-2. An increase in the expected future price of the product would be represented by a movement from
A) A to B. B) B to A. C) S1 to S2. D) S2 to S1.
In economics, what is the difference between the short run and the long run?
What will be an ideal response?
When a household's disposable income falls to zero, what do we expect will happen?
A. The household's consumption spending also falls to zero. B. The household will maintain a positive level of saving. C. Consumption will fall to the level of autonomous consumption. D. The household will maintain its previous level of consumption.