In a recent article in USA Today, the price of gasoline rose over the past year from $3.50 to $4.00, a price hike of about 14.29 percent. Gasoline consumption over the past year declined by 10 percent. So, on the basis of this article, we can conclude
that
A) The own-price elasticity for gasoline is nearly -0.70
B) The own-price elasticity for gasoline is -1.
C) The own-price elasticity for gasoline is roughly -1.43.
D) Can't tell; insufficient information.
Answer: A
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Suppose that you sign up for a one-day cooking class at the local culinary school for $75. Once you arrive at the class, you discover that you must purchase an apron for an additional $5. In this situation, the additional $5 you pay for the apron is an example of
A. an inefficient cost. B. opportunity cost. C. an economic loss. D. marginal cost.
U.S. imports:
A. Increase the foreign demand for foreign currencies B. Increase the domestic demand for foreign currencies C. Decrease the foreign supply of foreign currencies D. Increase the domestic supply of foreign currencies
Stocks are riskier for buyers because there is no commitment to pay dividends.
Answer the following statement true (T) or false (F)
Which of the following serves only the best known and heavily traded securities?
A. NYSE B. Multiple regional exchanges C. AMEX D. NASAQ