If we observe that when the price of chocolate increases by 10%, quantity demanded falls by 5%, then the demand for chocolate is price inelastic
a. True
b. False
Indicate whether the statement is true or false
True
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Answer the following statements true (T) or false (F)
1. Concern with the level of employment in the economy is a macroeconomic issue. 2. Microeconomics is a study of aggregates in the economy. 3. An economy’s wealth consists of a multitude of consumer and capital goods. 4. Economic services lack the characteristic of transferability found in economic goods.
Costs of production that change with the rate of output are
A) sunk costs. B) opportunity costs. C) fixed costs. D) variable costs.
A firm sells 1000 units per week. It charges $15 per unit, the average variable costs are $10, and the average costs are $25 . At what price does the firm consider shutting-down in the short run?
a. $25 b. $0 c. $15 d. $10
Of the following products, which is most standardized?
a. pizza b. concrete c. automobiles d. clothing e. paintings