Hot dogs and hot dog buns are found to be related by the cross elasticity of demand. If they are complementary goods, the cross elasticity will be
A. positive.
B. equal to zero.
C. negative.
D. unknown.
Answer: C
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In the distributed lag model, the coefficient on the contemporaneous value of the regressor is called the
A) dynamic effect. B) cumulative multiplier. C) autoregressive error. D) impact effect.
The demand for a resource is derived from the consumer demand for the good or service produced by the resource
a. True b. False
In a Stackelberg oligopoly
A) the leader moves first, and the follower chooses its price in the second stage of the game.
B) the leader moves first, and the follower chooses its output in the second stage of the game.
C) both firms act simultaneously, but one chooses price and the other output level.
D) there is no Nash equilibrium.
Which of the following is NOT a factor of production?
A) land B) labor C) a product D) entrepreneurship