When a shortage exists in a market, sellers
a. raise price, which increases quantity demanded and decreases quantity supplied until the shortage is eliminated.
b. can raise price without worrying about the loss of sales, which increases quantity supplied and decreases quantity demanded until the shortage is eliminated.
c. lower price, which increases quantity demanded and decreases quantity supplied until the shortage is eliminated.
d. lower price, which decreases quantity demanded and increases quantity supplied until the shortage is eliminated.
b
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Demand is elastic if
A) consumers respond strongly to changes in the product's price. B) a large percentage change in price brings about a small percentage change in quantity demanded. C) a small percentage change in price brings about a small percentage change in quantity demanded. D) the quantity demanded is not responsive to price changes. E) the demand curve is vertical.
Which of the following would generate a dollar demand for the euro?
What will be an ideal response?
Development economists suggest that the best strategy for the poorest DVCs to break out of their poverty is to implement policies that boost their:
A. Population growth for a greater labor supply B. Output and slow down their population growth C. Birth rates to expand their available resources D. Mortality rates to slow down their population growth
Remittances sent from developed countries are estimated at approximately ________ per year.
A. $2 million B. $50 million C. $100 billion D. $5 trillion