On a linear demand curve, demand is ________ at large quantities than it is at the middle of the demand curve.
A. more elastic
B. less elastic
C. equally elastic
D. There is insufficient information in the question.
Answer: B
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In the following table, the United States has a comparative advantage in producing
| COUNTRY | POTATOES | WHEAT |
| United States | 4 | 2 |
| Ireland | 3 | 1 |
Which of the following problems does not affect small firms:
a. scarcity of appropriately-skilled workers b. consumer preference for imported products c. adapting modern technology consistent with the scale of output d. government officials' preference for larger firms e. all of the of the above are problems for small firms
Which of the following is most accurate about the US during World War I?
a. Long-standing nationalistic and imperialistic rivalries produced a dangerous political situation. b. The continent had experienced several major wars in the preceding decades. c. Industrialization and a greater commitment to international trade had created rapidly rising standards of living. d. There was rising solidarity among the labor movements of different nations.
Contrast a positive supply shock with a negative supply shock.
a. A positive supply shock increases short-run aggregate supply, whereas a negative supply shock decreases short-run aggregate supply. b. A positive supply shock is an expected event, whereas a negative supply shock is an unexpected event. c. A positive supply shock is permanent, whereas a negative supply shock is temporary. d. A positive supply shock causes the short-run aggregate supply curve to shift leftward, whereas a negative supply shock causes the short-run aggregate supply curve to shift rightward.