The demand for a good is more price elastic
a. the shorter the time the consumer has to adjust to price changes
b. the lower the price of the good
c. the fewer the number of good substitutes
d. the less essential the nature of the good
e. if the supply is more price elastic
D
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The Greenbackers may be characterized fairly as inflationists
Indicate whether the statement is true or false
An increase in the price of a particular bond implies an increase in the interest rate for that bond.
Answer the following statement true (T) or false (F)
Which of the following is likely to be an effect of inflation?
a. An increase in the willingness of lenders to lend money for longer periods b. A decrease in the willingness of borrowers to borrow money for longer periods c. A decrease in the purchasing power of lenders in the economy d. An increase in the willingness of people to buy bonds as a hedge against rising prices e. An increase in the willingness of people to buy physical assets as a hedge against rising prices
Which of the following statements about the effects of rent control is correct?
a. The short-run effect of rent control is a surplus of apartments, and the long-run effect of rent control is a shortage of apartments. b. The short-run effect of rent control is a relatively small shortage of apartments, and the long-run effect of rent control is a larger shortage of apartments. c. In the long run, rent control leads to a shortage of apartments and an improvement in the quality of available apartments. d. The effects of rent control are very noticeable to the public in the short run because the primary effects of rent control occur very quickly.