If a 15 percent reduction in the price of electricity per kilowatt hour has no impact on the total electricity consumption, we can infer that in the short run, the demand for electricity is _____
a. perfectly inelastic
b. perfectly elastic
c. unit-elastic
d. relatively inelastic
e. relatively elastic
a
You might also like to view...
The figure above shows the supply curve for pizzas
a. What is the marginal cost of the 20th pizza? b. What is the minimum supply price of the 20th pizza? c. If the price is $6 per pizza, what is the producer surplus on the 20th pizza? d. If the price is $6 per pizza, what is the producer surplus for the total quantity of pizzas produced? e. If the price is $8 per pizza, what is the producer surplus for the total quantity of pizzas produced? f. If the price is $10 per pizza, what is the producer surplus for the total quantity of pizzas produced?
China's exchange rate system from 1994 through 2005 is an example of
A) a flexible exchange rate system. B) a fixed exchange rate system. C) a managed float exchange rate system. D) the Bretton Woods System. E) a floating exchange rate system.
If housing prices are expected to increase, then, other things equal, the demand for houses will ________ and that of Treasury bills will ________
A) increase; increase B) increase; decrease C) decrease; decrease D) decrease; increase
Assume the exchange rate of the domestic currency is overvalued. What does the central bank need to do in order to keep the exchange rate fixed?
a. There is no need to intervene since the domestic currency is not undervalued. b. It needs to increase the money supply by raising the discount rate. c. It needs to sell the excess demand for foreign currency. d. It needs to buy the excess supply of foreign currency. e. It needs to decrease the money supply by lowering the discount rate.