Assume that, over time, engineers develop new residential furnaces that can run on different types of fuels, e.g., natural gas, electricity, propane, and fuel oil, simply by flipping a switch on the furnace
How would this technological change affect the price elasticity of demand for natural gas? Why?
The price elasticity of demand for natural gas should increase as a result of an increase in the number of available substitutes for natural gas as the energy source for operating a furnace.
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Based on the figure below. Starting from long-run equilibrium at point C, a tax cut that increases aggregate demand from AD to AD1 will lead to a short-run equilibrium at point ________ and eventually to a long-run equilibrium at point ________, if left to self-correcting tendencies. 
A. D; C B. B; C C. B; A D. D; B
The three concepts of optimal capacity utilization are:
a. optimal plant size for a given output rate b. optimal cost of manufacturing c. optimal plant size d. optimal output for a given plant size e. all of these except b f. all of these except c
Antitrust laws attempt to promote competition by controlling
a. market structure only b. market conduct only c. market structure and performance d. market structure and conduct e. market structure, conduct, and performance
The only way that an economy can increase its rate of consumption in the long run is by increasing the amount that it produces
a. True b. False Indicate whether the statement is true or false