A good like water has few substitutes and takes up little of our income to purchase. As a result, its demand is likely to be
A. perfectly elastic.
B. inelastic.
C. elastic.
D. unit elastic.
Answer: B
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Refer to the figure below. In response to gradually falling inflation, this economy will eventually move from its short-run equilibrium to its long-run equilibrium. Graphically, this would be seen as 
A. long-run aggregate supply shifting leftward B. Short-run aggregate supply shifting upward C. Short-run aggregate supply shifting downward D. Aggregate demand shifting leftward
The following is a total-product schedule for a resource. Assume that the quantities of other resources the firm employs remain constant.Units of ResourceTotal Product124242460680792If the product the firm produces sells for a constant $3 per unit, the marginal revenue product of the sixth unit of the resource is
A. $30. B. $10. C. $60. D. $20.
Suppose Always There Wireless serves 100 high-demand wireless consumers, who each have a monthly demand curve for wireless minutes of QdH = 200 - 100P, and 300 low-demand consumers, who each have a monthly demand curve for wireless minutes of QdL = 100 - 100P, where P is the per-minute price in dollars. The marginal cost is $0.25 per minute. Suppose Always There Wireless charges $0.30 per minute. What is the highest fixed fee Always There Wireless could charge without losing the low-demand consumers?
A. $28.13 B. $56.26 C. $24.50 D. $49.00
Approximately 60 percent of the funds flowing to nonfinancial businesses come from ________
A) hedge funds B) financial intermediaries C) organized exchanges, like the New York Stock Exchange D) insurance companies