A rancher raises sheep. Once a year he shears them and sells the raw wool to a processor who cleans it and spins it into yarn. The yarn is then sold to a knitting mill, which produces and sells sweaters. In calculating GDP we would count:
A. the raw wool, the yarn and the sweaters.
B. only the yarn and the sweaters.
C. only the sweaters.
D. only the raw wool and the yarn.
Answer: C
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Demand is price inelastic if ________ percentage change in the price leads to a ________ percentage change in the quantity demanded
A) a small; large B) a large; small C) any; large D) Both answers A and B are correct. E) None of the above answers is correct.
Why does the government intervene in the market for research, especially medical research?
What will be an ideal response?
About ___________ of the U.S. population moves each year
a. 5% b. 10% c. 15% d. 35%
Total revenue for a perfectly competitive firm producing six units of output is $48. Total revenue for producing eight units of output is $64. Given this information, the:
A. average revenue for producing eight units is $16. B. marginal revenue for producing the eighth unit is $16. C. firm should raise its price. D. marginal revenue for producing the eighth unit is $8.