Think cross elasticity. Suppose that the price of cod increases from $10 to $12 . If perch and cod belong to the same market and consumers had demanded 20 perch before the increase in the price of cod, they will now demand
a. 34 perch
b. 8 perch
c. 24 perch
d. no more than 28 perch
e. at least 32 perch
E
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________ like a check and ________ considered money
A) Debit cards work; are not B) Debit cards work; are C) E-checks work; are D) E-cash works; is not E) E-cash works; is
The Coffee Nook, a small cafe near campus, sells cappuccinos for $2.50 and Russian tea cakes for $1.00 each. What is the opportunity cost of buying a cappuccino?
A) $1.00 B) $2.50 C) 2/5 of a Russian tea cake D) 2 1/2 Russian tea cakes
If the market price ever drops below a firm's average variable costs at its profit-maximizing level of output the:
A. firm should shut down immediately. B. loss-minimizing quantity of output is zero. C. firm is not earning enough revenue to cover the variable costs of production. D. All of these are true.
Figure 10.4 Federal Surplus or Deficit as a Percent of GDP
What will be an ideal response?