If a good has an absolute price elasticity of 4, the demand for the good is
A. unit elastic.
B. inelastic.
C. perfectly elastic.
D. elastic.
Answer: D
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The chairman of the Federal Reserve Board of Governors:
A. Is elected by U.S. voters. B. Will typically change following each presidential election. C. Serves a four-year term and can be reappointed. D. Is always closely tied to the same political party as the president.
When the dollar depreciates, this shifts the AD curve rightward and the SRAS curve leftward, leading to a higher price level
Indicate whether the statement is true or false
If people have a sudden decrease in confidence in the open economy of the U.S. and no longer want to invest there, the NCO:
A. increases, and the demand for loanable funds curve would shift left. B. decreases, and the demand for loanable funds curve would shift right. C. decreases, and the demand for loanable funds curve would shift left. D. increases, and the demand for loanable funds curve would shift right.
If the demand for legal services decreases, the demand for legal assistants probably will:
A. increase. B. decrease. C. not be affected. D. change in a manner that cannot be predicted.