If a 10 percent price increase causes the quantity demanded for a good to decrease by 10 percent, demand is unitary elastic
a. True
b. False
Indicate whether the statement is true or false
True
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Which of the following was NOT considered to have been a drawback of the pre-1914 gold standard?
A) It sometimes led to inflation, which several times in the late nineteenth century caused recessions in the United States. B) Countries had little control over their domestic monetary policies. C) Countries with trade deficits experienced deflation. D) Changes in the world money supply were strongly influenced by gold discoveries.
Actual investment equals intended investment only when the economy is in macroequilibrium
Indicate whether the statement is true or false
Marginal cost pricing regulations for a natural monopolist ensure that
a. b and e b. price reflects the value society places on the last unit produced c. output will continue to grow until the required subsidy is zero d. fair pricing schemes are more profitable e. subsidization will be necessary
Which is not considered to be an economic resource?
a. Money b. Labor c. Land (or natural resources) d. Tools and machinery