The midpoint method is used to compute elasticity because it
a. automatically computes a positive number instead of a negative number.
b. results in an elasticity that is the same as the slope of the demand curve.
c. gives the same answer regardless of the direction of change.
d. automatically rounds quantities to the nearest whole unit.
c
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Suppose the President asks you to write him a letter suggesting ways the government might help the economy achieve permanently higher rates of economic growth
Based on your understanding of growth theory and growth accounting, what would you suggest?
According to the graph shown, if the government decides to increase its spending, it is most likely at point:
A. C
B. B
C. D
D. It's impossible to tell without more information.
Which of the following can make the unemployment rate fall?
A. A decrease in the number of people who are looking for work. B. A decrease in the number of people who are looking for work and an increase in the number of people with jobs. C. An increase in the number of people who are looking for work. D. An increase in the number of people with jobs.
As the unemployment rate decreases in response to the economy moving toward capacity output, the aggregate price level
A. falls at an increasing rate. B. is stable. C. rises. D. falls at a declining rate.