The price of migraine medicine increased by 6%, causing a 1% increase in quantity supplied. Price elasticity of supply
a. is 6.
b. is 167.
c. is 1.
d. cannot be determined.
b. is 167.
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If consumers switch away from eating margarine at the same time that the number of margarine suppliers increases, then:
a. these two effects cancel each other out and there is no change in the margarine market equilibrium. b. the demand curve shifts left and the supply curve shifts right. c. there is a margarine price increase. d. there is an excess demand for margarine. e. the equilibrium quantity of margarine must increase.
The gold standard ended with the:
a. rise of Napoleon to power. b. American Declaration of Independence. c. outbreak of World War I. d. first Arab oil embargo. e. presidency of Richard Nixon.
Assume the central bank pursues contractionary monetary policy. What is the first round effect on the value of the domestic currency, if there is high mobility in the international capital markets?
a. The value of the currency rises. b. The value of the currency falls. c. The value of the currency is unaffected. d. The change in the value of the currency is ambiguous.
is U.S net ports are negative
What will be an ideal response?