Iron is required to make steel. Hence, the price elasticity of demand for iron by steel manufacturers will be
A) unit elastic.
B) inelastic.
C) elastic.
D) perfectly elastic.
Answer: B
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We expect a rise in transfer payments when
a. the needs of the poor receive more publicity b. taxes rise c. GDP rises and inflation soars d. the retirement age remains unchanged over time e. recessions occur
America's prosperity and economic growth is secure for the foreseeable future
a. True b. False Indicate whether the statement is true or false
Describe how a lender can lose during inflation if the inflation is unanticipated and the loan is a fixed-interest-rate loan. How would a variable-interest-rate loan (one that adjusts over the contract period) eliminate these loses?
What will be an ideal response?
The role of the entrepreneur in society is to
A. bring the factors of production together and take the risks of producing. B. provide capital to the firm which the management combines with labor. C. control the land upon which all production takes place to get the most rent. D. regulate what products are considered safe to market.