If the price of gloves increases, total expenditures on gloves will decline if
a. the demand for gloves is inelastic.
b. the demand for gloves is elastic.
c. the quantity of gloves purchased is unresponsive to changes in price.
d. there are few good substitutes for gloves.
B
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The relationship between the marginal product of labor (MP), the product price (P), and marginal revenue product of labor (MRP) in a perfectly competitive market is
a. MP = P x MRP b. MP = MRP / P c. MRP = P + MP d. MRP = P / MP e. MP = P + MRP
If real disposable income fell during a particular year, we can conclude that:
a) personal taxes increased. b) inflation occurred. c) transfer payments declined. d) none of these necessarily occurred.
Refer to the above table. What is the GDP price index in Year 1?
105.2 111.5 108.3 109.6
Use the following graph of the demand for electric cars to answer the question below.
Refer to the three demand curves for electric cars. Which of the following would shift the demand for electric cars from D1 to D3?
A. an increase in the price of electric cars B. a decrease in the price of electric cars C. a decrease in the price of gasoline D. an increase in the price of gasoline