A 10 percent increase in buyers' incomes results in a 5 percent drop in the quantity of hot dogs demanded. In this range, the income elasticity of demand for hot dogs is
a. 0.5
b. 2.0
c. 5.0
d. -2.0
e. -0.5
E
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Using the expenditure method to estimate GDP, we would include:
A. consumption, investment, government purchases, and net exports. B. consumption, government revenues, durable goods, and net exports. C. consumption, investment, government purchases, and exports. D. consumption, investment, government purchases, and imports.
Equating society's marginal benefits with marginal costs will ensure that the economically efficient level of either private or public goods is attained
Indicate whether the statement is true or false
This graph demonstrates the domestic demand and supply for a good, as well as the world price for that good.
According to the graph shown, if this economy were an autarky, producers would enjoy area:
A. ABC. B. H. C. HDE. D. A.
What determines the proportion of a unit excise tax that will be passed on to consumers in the form of higher prices?
A. the degree to which quantity demanded and supplied of the good respond to price changes B. the nature of the projects funded by the tax C. the popularity of the tax D. the number of additional taxes that consumers have to pay