In the used pick-up truck market:
A. some of the predictions of the lemons model are observed some of the time.
B. the lemons model accurately describes the market.
C. none of the predictions of the lemons model are observed.
D. there is no asymmetric information, and so the lemons model does not apply.
Answer: A
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The congestion tax implemented in London reduced traffic volume and cut travel time for cars and buses in half
Indicate whether the statement is true or false
In Brazil, the income elasticity of demand for dairy is 0.7 and for fruit and vegetables it is 0.5. These elasticities mean that if the income of Brazilians decreases, they will purchase ________ dairy and ________ fruits and vegetables
A) less; less B) more; more C) more; less D) less; more
The change in consumption divided by a change in income is called the
a. consumption function b. marginal propensity to consume c. marginal propensity to spend d. spending function e. changing propensity to consume
If this firm were a perfect competitor, at what output would it produce in the long run?
A. 50 units
B. 60 units
C. 70 units
D. 75 units