If cross elasticity between two goods is infinite, the goods are
a. perfect substitutes
b. perfect complements
c. good but not perfect substitutes
d. not considered to be substitutes
e. produced by the same firm
A
You might also like to view...
A 10 percent increase in income has caused a 5 percent decrease in the quantity demanded. The income elasticity is
A) 0.5. B) -0.5. C) 2.0. D) -2.0.
A consumer price index of 110 for a given year indicates that prices in that year are 10 percent higher than prices in the base year
a. True b. False Indicate whether the statement is true or false
It has been found that
a. less-developed countries have more equality of income distribution. b. more-developed countries have more equality of income distribution. c. only prior communist countries have more equality of income distribution. d. income distribution cannot be measured among countries with different political and economic systems.
The stable to declining quality of the labor force in the United States has been brought about by which of the following:
A. the increasing number of immigrants in the work force B. the decline in the quality of our education system C. the higher level of living D. the exodus of highly educated citizens