If the price of gasoline goes up by 10% and the quantity demanded goes down by 5%, the absolute value of the price elasticity of demand is
A. 1.00.
B. 0.50.
C. 0.25.
D. 0.75.
Answer: B
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Which of the following statements is true of the U.S. economy in the last 200 years?
A) The growth rate of GDP has been more than 10% per year. B) The GDP per capita has decreased. C) The GDP per capita has increased. D) There has been no contraction in the economy.
Refer to Scenario 11.1. Suppose Mariana purchases the needed land from Abe, Ben, Cat, and Don for the value she calculated the land to be worth, but Eva refuses to sell the land for the same price as the other 4 ranchers
What is the maximum amount Mariana would be willing to pay Eva for her land and still be willing to build the railway? A) $400,000 B) $1 million C) $1.4 million D) $3 million
An example of an entrepreneur would be
A) the owner of a new Indian food restaurant. B) the cafeteria employee who won the employee of the month award. C) a Greyhound bus driver. D) the cashier at your local supermarket.
When consumers realize additional income in a household and spend the additional money, the portion of the additional income that is spent is measured by the:
A. credit increase theory. B. marginal propensity to consume. C. aggregate demand factor. D. measure of individual wealth.