If the quantity of bagels demanded decreases by 8% when the price of croissants decreases by 16%, the cross-price elasticity of demand between bagels and croissants is
A. 2.
B. 0.5.
C. -2.
D. -5.
Answer: B
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Which of the following is true of resources?
a. Resources are inputs used to produce goods and services. b. Human resources reflect the skills and productive knowledge of human beings. c. With the passage of time, investment activities can increase the availability of resources. d. All of the above are true.
A stronger dollar benefits American
A. workers. B. consumers. C. businesses. D. commodity market speculators.
Full-employment output is also called:
A. zero-unemployment output. B. equilibrium output. C. potential output. D. zero-savings output.
Refer to Scenario 1.2 below to answer the question(s) that follow.SCENARIO 1.2: A scientist wants to understand the relationship between automobile emissions and the level of global warming. The scientist collects data on the volume of automobile emissions and the levels of global warming over time. The scientist concludes that a 1% increase in automobile emissions causes a 0.0003% increase in average global temperatures. From this information he concludes that the automobile emissions are harmful to the environment and should be reduced to stop the increase in global temperatures.Refer to Scenario 1.2. The statement that an increase in automobile emissions causes an increase in global warming is an example of
A. deductive reasoning. B. a fallacy. C. an economic theory. D. normative economics.