Which of the following statements is true?
A) If the price of a good is lowered and total revenue decreases, demand is elastic.
B) If the price of a good is raised and total revenue does not change, demand is perfectly elastic.
C) If the price of a good is raised and total revenue increases, demand is inelastic.
D) If the price of a good is lowered and total revenue increases, demand is inelastic.
Answer: C
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The larger the U.S. imposed per unit import tariff on a good imported and produced in the United States,
A) the smaller the U..S consumer surplus. B) the larger the U.S. producer surplus. C) the larger the government revenue. D) All of the above.
Explain using welfare measures whether consumers prefer a single price monopoly or a perfectly price discriminating monopoly
What will be an ideal response?
Because firms selling a homogeneous product set price in response to the (perceived) pricing decision of other firms in the Bertrand Model of oligopoly in equilibrium price exceeds marginal cost
Indicate whether the statement is true or false
Which government undertook significant infrastructure projects in the mid-1990s to improve roads and public works, which in turn increased the stock of physical capital and ultimately economic growth?
a. South Korea b. the United States c. Japan d. China