A demand function is inelastic if the absolute value of its elasticity is less than one.
a. true
b. false
Ans: a. true
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Answer the next question on the basis of the following production possibilities tables for two countries.Latalia's Production Possibilities ABCDEPork (tons)43210Beans (tons)05101520Trombonia's Production Possibilities ABCDEPork (tons)86420Beans (tons)06121824Which of the following would be feasible terms for trade between Latalia and Trombonia?
A. 2 tons of beans for 1 ton of pork B. 1 ton of beans for 1 ton of pork C. 6 tons of beans for 1 ton of pork D. 4 tons of beans for 1 ton of pork
What is dumping? Who benefits and who loses from dumping?
What will be an ideal response?
The unemployment problem becomes more severe if prices are sticky downward
a. True b. False Indicate whether the statement is true or false
Ivan Jewels is an established diamond jeweler. Which of the following statements proves that it is a monopoly? a. It is the only firm that owns the resources for the production of diamond jewelry
b. It is unable to come up with better technology to compete with other diamond jewelers. c. It has made way for other firms to enter the industry and earn supernormal profits. d. Ivan Jewels charges the same price as other diamond jewelers in the market.