The measure of the relationship between a change in income and the consequent relative change in quantity demanded at a given price is the:
a. cross elasticity of supply
b. elasticity of supply.
c. cross elasticity of demand.
d. income elasticity of demand.
d
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The figure above shows the market for private elementary school education in Chicago. There is no external cost of private elementary education
If the government does not intervene in this market, the equilibrium number of students being privately educated is ________ and the efficient quantity is ________. A) 0 students; 400 students B) 400 students; 400 students C) 400 students; 600 students D) 600 students; 400 students E) 600 students; 600 students
Large firms sometimes have manufacturing and development that take place in multiple states. Should they be subject to taxation in every state in which they do business?
What will be an ideal response?
"Other things equal, when the price of a good rises, the quantity demanded of the good falls, and when the price falls, the quantity demanded rises." This relationship between price and quantity demanded is referred to as
a. equilibrium b. the law of demand. c. the relationship between demand and income. d. the definition of a normal good.
If the MPC = 0.75, MPS must be _______ and the income multiplier is _______
a. 0.25; 4 b. 0.25; 5 c. 0.75; 5 d. 1.50; 5 e. 4; 0.25