If a 5 percent fall in the price of a product causes the quantity demanded of the product to increase by 10 percent, the demand is:
A. perfectly elastic.
B. elastic.
C. inelastic.
D. unit elastic.
Answer: B
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What word describes the money that a business pays for its inputs?
A. Production B. Cost C. Output D. Revenue
Suppose Al, Betty, and Carl own the only fishing companies in your village. Suppose the market price today is $10 per fish. Suppose Al catches 4,000 fish with an average total cost of $7.50, Betty catches 6,000 fish with an average total cost of $6, and Carl catches 10,000 fish with an average total cost of $7 . How much would Betty's average total cost have to fall in order for her to make as
much total profit as Carl? a. $1 b. $2 c. $4 d. $5 e. Betty cannot make as much profit as Carl with only 6,000 fish.
Meta-ideas involve
A) the methods of producing ideas. B) persuading others of the validity of one's ideas. C) putting ideas in a form capable of approval in a "yes" or "no" vote. D) the expression of ideas in mathematical form.
The unemployment rate tells us:
A. what percentage of the labor force want to work and can't find a job. B. what portion of the population is causing the economy to languish. C. how to solve the problem of unemployment. D. who is being affected by the fluctuations of the economy.