Refer to the information provided in Figure 7.8 below to answer the question(s) that follow. 
Figure 7.8Refer to Figure 7.8. The firm is currently along isocost CE. If the price of capital is $12, then the price of labor is
A. $8.
B. $12.
C. $80.
D. $120.
Answer: A
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Which of the following is NOT a problem associated with randomized experiments?
A) Experiments can sometimes get expensive for the researcher. B) The participants in the treatment group and control group are not identical in all respects. C) Getting immediate answers to some important questions may not be possible. D) Sometimes experiments are conducted poorly, which may lead to inaccurate results.
The amount of a good that must be given up to produce another good is the concept of:
a. scarcity. b. specialization. c. trade. d. efficiency. e. opportunity cost.
What does elasticity of demand measure?
a. how responsive consumers are to advertising b. how responsive consumers are to price changes c. how much consumers are affected by layoffs d. how much consumers are affected by inflation
Price elasticity of supply is always
A. positive because of the law of supply. B. negative because percentages can only be negative. C. negative because of the law of supply. D. positive because of diminishing marginal utility.