If a $1 increase in price leads to a 3-unit decrease in quantity demanded, then demand must be elastic
a. True
b. False
B
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The opportunity cost to the consumer of purchasing and consuming one more unit of a good is called the marginal benefit
Indicate whether the statement is true or false
Under Alan Greenspan and Ben Bernanke, the Federal Reserve was successful in pursuing a ________ policy
A) preemptive B) inflation targeting C) exchange rate targeting D) monetary targeting
Which of the following is the best example of "how goods and services should be produced?"
A) complying with the technical specifications in the production of an aircraft B) the production of jet aircraft for the air force or for a commercial airline C) the use of additional workers versus the use of machines in the production of goods D) the production of a new manufacturing facility
Which of the following describes a situation in which demand must be elastic?
a. Total revenue increases by 15 percent when the price of corndogs rises by 15 percent. b. Total revenue increases by less than 15 percent when the price of corndogs rises by 15 percent. c. Total revenue decreases by more than 15 percent when the price of corndogs rises by 15 percent. d. Total revenue increases by $15 when the price of corndogs rises by $15. e. Total revenue increases by more than $15 when the price of corndogs rises by $15.