Which of the following statements is true?
A) There are more farms today than at the beginning of the 20th century.
B) An individual farmer prefers good weather to bad weather, but farmers as a group may prefer bad weather to good weather, especially if the demand for their products is inelastic.
C) Income elasticity of demand measures the responsiveness of a change in quantity supplied to changes in income.
D) a and b
E) b and c
B
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If the quantity of credit supplied in a market exceeds the quantity of credit demanded in the market:
A) the unemployment rate tends to rise. B) the real rate of interest tends to rise. C) the rate of inflation tends to fall. D) the real rate of interest tends to fall.
Gross public debt is the amount of funds that
A) U.S. residents owe to foreign residents. B) the federal government owes to all holders of U.S. securities. C) the federal government owes to taxpayers. D) states owe to the federal government.
A consumer will consume the combination of goods at the point of tangency between the budget line and the indifference curve
a. True b. False Indicate whether the statement is true or false
What goods would be considered both excludable and rival in consumption?
a) private goods b) common goods c) public goods d) natural monopolies