Describe and give reasons for the characteristics of the elasticity of supply of a farm product that is sold at a farmer’s market on a particular day
Please provide the best answer for the statement.
The supply is probably perfectly inelastic in this case indicating that a change in price will not bring forth more quantity supplied. The farmer has a specific quantity of the product available for sale that day. Even if the price increases, the farmer cannot increase the quantity he or she wants to sell because the immediate market period is too short of time for a change to be made to production.
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Unlike cyclical unemployment, both frictional and structural unemployment rise during recessions and fall during expansions
Indicate whether the statement is true or false
If the equilibrium price of natural gas is $4 per thousand cubic feet and a price ceiling is imposed at $3 per thousand cubic feet, the result will be:
a. a surplus of natural gas. b. a shortage of natural gas. c. an accumulation of inventories of unsold gas. d. None of these.
Labor unions in the United States
a. tend to be more outspoken politically than those in Europe. b. have experienced steady declines in membership since the 1950s. c. tend to be more powerful in deregulated industries (for example, airlines) than in regulated industries. d. universally support socialist principles.
Economists also refer to the normal rate of return on investment as
A. the equity kicker. B. a residual cost. C. the fixed cost of entrepreneurship. D. the opportunity cost of capital.