The figure below shows private supply and demand for flu vaccines.

Demand elasticity equals quantity times price.

Answer the following statement true (T) or false (F)

Refer to Figure 22-4. Suppose the per-worker production function in the figure above represents the production function for the U.S. economy

If the United States decided to cut its support of university research in half, this would cause a movement from A) B to D. B) B to E. C) B to C. D) B to A.

Demand for movie rentals is highly elastic. A video store that raises the price of a rental will:

a) lose revenue b) gain revenue c) possibly gain or lose revenue d) see no change in revenue

As it relates to corporations, the principal-agent problem is that:

A. the goals of the corporate managers (the principals) may not match the goals of the corporate owners (the agents). B. the goals of the corporate managers (the agents) may not match the goals of the corporate owners (the principals). C. the federal government (the agent) taxes both corporate profits and the dividends paid to stockholders (the principals). D. it is costly for the corporate owners (the principals) to obtain a corporate charter from government (the agent).