Someone who knows nothing about the relative quality of a $2 toothbrush and a $7 toothbrush, both available for sale, but chooses to buy the more expensive one, is probably

A) displaying an inelastic demand for toothbrushes.
B) judging quality by price.
C) violating the law of demand.
D) wealthy enough not to care about prices.


B

Economics

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Refer to above Table 2-1. What is the level of Gross Domestic Product?

A) 2690 B) 3050 C) 2430 D) 3010

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A binding minimum wage creates a shortage of labor

a. True b. False Indicate whether the statement is true or false

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A competitive market begins in a situation of long-run equilibrium. Then, there is a decrease in demand. Describe the process that eventually leads to a new long-run equilibrium

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Refer to the data. The profit-maximizing level of output will be:



A.  4 units.
B.  7 units.
C.  6 units.
D.  5 units.

Economics