Maximum total revenue occurs when
A. Price multiplied by quantity is 1.0.
B. The absolute value of the price elasticity of demand is 1.0.
C. The absolute value of the price elasticity of demand is 100.
Answer: B
You might also like to view...
An decrease in the price level in the United States will shift the aggregate expenditure line downward
Indicate whether the statement is true or false
When the Federal Open Market Committee (FOMC) votes on policy, it does so in the following order: the chair votes first, the vice chair votes second, and the remaining FOMC members vote based on their seniority at the Fed
Indicate whether the statement is true or false
The government in Katrina’s country does little to enforce property rights. Which statement about this situation is most likely true?
a. The government is encouraging economic growth. b. People in Katrina’s country are saving most of their incomes. c. People in Katrina’s country are unwilling or unable to invest. d. The economy is growing too rapidly for the government to keep up.
A futures contract is essentially the same thing as a forward contract.
a. true b. false