A landlord will supply his or her land for rental only if in equilibrium
A. he or she receives economic rent on the land.
B. he or she is paid at least the opportunity cost of using the land himself or herself.
C. his or her land is marginal.
D. his or her rate of return on his or her investment in the land is zero.
Answer: B
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Demand is said to be __________ when the quantity demanded changes at the same proportion as the price.
a. elastic b. unit elastic c. inelastic d. independent
Refer to Figure d, which illustrates a game played by Travis and Darren. Darren's dominant strategy is:
A. East.
B. West.
C. neither East nor West because East is only weakly dominated.
D. both East and West.
The use of money allows trade to be roundabout
a. True b. False Indicate whether the statement is true or false
Today's supply curve for gasoline could shift in response to a change in
a. today's price of gasoline. b. the expected future price of gasoline. c. the number of buyers of gasoline. d. All of the above are correct.