Use the following graph of demand curves to answer the next question.
Which demand curve is relatively most elastic between P1 and P2?
A. D1
B. D2
C. D3
D. D4
Answer: A
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Explain why tariffs are a primary revenue source for less-developed countries but not for developed countries
What will be an ideal response?
Homer's Donut Shoppe has the production function q = 10L + 20L2 - 5L3. The marginal product of labor is
A) MP = 10 + 40L -15L2 B) MP = 10 + 20L -5L2 C) MP = 10L D) MP = 10 + 20L
Suppose Ireland exports beer to China and imports pineapples from the United States. This situation suggests that
a. Ireland has a comparative advantage relative to the United States in producing pineapples, and China has a comparative advantage relative to Ireland in producing beer. b. Ireland has a comparative advantage relative to China in producing beer, and the United States has a comparative advantage relative to Ireland in producing pineapples. c. Ireland has an absolute advantage relative to the United States in producing pineapples, and China has an absolute advantage relative to Ireland in producing beer. d. Ireland has an absolute advantage relative to China in producing beer, and the United States has an absolute advantage relative to Ireland in producing pineapples.
The problem caused by goods that are considered common resources is that they are:
A. undersupplied. B. underconsumed. C. overconsumed. D. oversupplied.