The price elasticity of gasoline supply in the U.S. is 0.4. If the price of gasoline rises by 8%, what is the expected change in the quantity of gasoline supplied in the U.S.?
A) +3.2%
B) -3.2%
C) +32.0%
D) +0.32%
A
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The total amount of copper in the earth is not increasing. Does this mean that in the market for copper, the supply curve is perfectly inelastic? Explain
What will be an ideal response?
When the nation of Roma allows trade and as a result becomes an importer of scooters,
a. residents who produce scooters become worse off; residents who buy scooters become better off; and the economic well-being of Roma rises. b. residents who produce scooters become worse off; residents who buy scooters become better off; and the economic well-being of Roma falls. c. residents who produce scooters become better off; residents who buy scooters become worse off; and the economic well-being of Roma rises. d. residents who produce scooters become better off; residents who buy scooters become worse off; and the economic well-being of Roma falls.
In the context of decisionmaking, the word "marginal" is most closely associated with the word
a. "unimportant.". b. "slow.". c. "edge.". d. "irrational.".
Briefly explain Schumpeter’s model of innovation. Why does an innovator’s economic profit eventually reduce to zero?
What will be an ideal response?