Recall this discussion from the text. The supply of 20-year-old French wine has a price elasticity of supply of
a. 1.00
b. -1.0
c. 0
d. infinity
e. 20
C
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A situation where a member of Congress votes to approve a bill in exchange for favorable votes from other members on other bills is called
A) logrolling. B) special interest legislation. C) regulatory capture. D) rent seeking.
Sally is shopping for textbooks at the beginning of the semester. What is one reason she might decide to not purchase a textbook?
A) Her expected producer surplus is positive. B) Her expected consumer surplus is negative. C) Her expected consumer surplus is positive. D) Her expected profits are positive.
"OPEC should supply more oil so that the world's economies can grow more rapidly." This is an example of
A) a normative statement. B) a positive statement. C) a decision at the margin. D) OPEC overcoming scarcity.
Other things being equal, you can make $20,000 a year teaching, $25,000 a year typing, $30,000 a year driving a cab, and $40,000 a year as a chef. You have a comparative advantage in
A) teaching. B) driving a cab. C) being a chef. D) one of them but we need more information to know which.