Based on the information in the table, which product would be an inferior good?Product% Change in Income% Change in Quantity DemandedA-10-10B+5+5C-3+3D-3-3
A. Products A and D
B. Product B
C. Product C
D. Product D only
Answer: C
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"A single-price monopolist will always charge a price that is on the elastic range of its demand." Explain why the previous statement is correct or incorrect
What will be an ideal response?
Which of the following is an example of a market failure?
A. There are not enough tickets available to concerts of extremely popular performers and artists B. The price of medical care has risen dramatically as a result of the introduction of sophisticated equipment and procedures C. Successful public schools provide benefits to the students who attend them, as well as to the community as a whole including those who don't go to those public schools D. Extensive decreases in the prices of electronic equipment resulted in large numbers of bankruptcies in the computer industry
A fireworks show has been arranged in a park. The ticket for the show is $5 but only 40% of the tickets get sold as spectators can watch the show without entering the park. This is an example of ________
A) the free-rider problem B) the paradox of thrift C) the paradox of plenty D) the tragedy of the commons
Absolute advantage is
A) the ability to produce a good or service at a higher opportunity cost than one's competitors. B) the ability to produce more of a good or service than competitors that have fewer resources. C) the ability to produce more of a good or service than competitors when using the same amount of resources. D) the ability to produce higher quality goods compared to one's competitors.