When economists want to obtain a measure of the responsiveness of quantity demanded to changes in price, they use
A. the slope of the demand curve.
B. the unit change in quantity demanded.
C. the price elasticity of demand.
D. the cross-price elasticity of demand.
Answer: C
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A hostile takeover is one opposed by the firm’s existing management.
Answer the following statement true (T) or false (F)
Price controls are used to ______.
a. alter the natural market equilibrium price b. prevent changes to the natural market equilibrium price c. reduce government influence on the natural market equilibrium price d. eliminate taxes at the natural equilibrium price
Which of the following is true of the taxation of capital gains in the United States?
A. It is taxed on realization. B. It is taxed on accrual. C. The tax cannot be deferred. D. Short-term capital gains are not taxed.
Intermediate targeting the money supply is preferable if there is a(n)
a. increase in the severity of supply shocks. b. unstable money demand function. c. low interest elasticity of money demand. d. difficulty in the measurement of money demand. e. none of the above.