When the price of milk goes up as a result of a rightward shift of the demand curve for milk, the total revenue collected by milk producers will
A) increase only if milk is inelastic in supply.
B) decrease only if milk is elastic in supply.
C) remain constant only if milk has a unitary price elasticity of supply.
D) none of the above
D
You might also like to view...
Which statement is false?
A. Before the Civil War about three quarters of the farms of over 500 acres were located in the South. B. The great abundance of land was the most influential factor in the United States' economic development during the 19th century. C. Although the percentage of Americans living on farms has declined substantially over the last 70 years, the actual number of people living on farms has remained constant. D. None of the statements are false.
Superhighways, public housing facilities, and defense projects are all ways that the President can:
A. close a recessionary gap B. close an inflationary gap C. combat inflation D. raise unemployment
If the government should decide to legalize marijuana, all other things remaining the same, we should expect to see
A) a decrease in the price of marijuana. B) an increase in the price of marijuana. C) a decrease in the demand for marijuana. D) an increase in the use of imported versus domestic marijuana.
Which of the following is least responsible for the reduction in mortality rates in Europe and North America?
a. Reduced exposure to diseases b. Clean water and waste disposal c. Better nutrition and housing d. Improved sanitary conditions e. More effective medical interventions