Evaluate the following statements: I. The slope of the demand curve is always equal to the elasticity of demand. II. Moving down along a downward-sloping, straight-line demand curve, the elasticity of demand falls
a. (I) and (II) are both true.
b. (I) is true and (II) is false.
c. (I) is false and (II) is true.
d. (I) and (II) are both false.
c
You might also like to view...
Taxation alters the behavior patterns of individuals.
Answer the following statement true (T) or false (F)
Even though in oligopoly the actions of one firm have a perceptible effect on the other firms, oligopoly firms act independently.
Answer the following statement true (T) or false (F)
The People's Bank of China has
A) allowed a flexible exchange rate to boost exports. B) managed its exchange rate to help control inflation. C) strictly followed a fixed exchange rate to boost exports. D) purchased U.S. dollars to appreciate the yuan.
Real income equals a household's income
A) in terms of the quantity of goods the household can buy. B) multiplied by the prices of the goods it buys. C) divided by the prices of the goods it buys. D) multiplied by the relative prices of the goods it buys.