Suppose the price elasticity coefficients of demand are 1.43, 0.67, 1.11, and 0.29 for products W, X, Y, and Z respectively. A 1 percent decrease in price will increase total revenue in the case(s) of:
A. W and Y.
B. Y and Z.
C. X and Z.
D. Z and W.
Answer: A
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(I) Countries with more economic freedom during the past quarter of a century had a lower average per capita GDP. (II) Countries with more economic freedom during the past quarter of a century generally achieved higher rates of economic growth
a. Both I and II are true. b. Both I and II are false. c. I is true; II is false. d. I is false; II is true.
For the economy as a whole, about what percentage of total firm revenue is spent on advertising?
Which of the following statements is false?
A. The Standard Oil trust forced its rivals out of business. B. The Clayton Act expressly exempted labor unions from prosecution under the Sherman Act. C. The judge in the Microsoft case concluded that the company used anticompetitive means to maintain a monopoly for its PC operating system software. D. The rule of reason originated in the ALCOA case of 1945.
In the short run after a country engages in free trade, wages and land rents can be expected to rise in the expanding sector of the country.
Answer the following statement true (T) or false (F)