One of the most important determinants of a good's price elasticity of demand is
A) the profits of suppliers.
B) the numbers of buyers in the market.
C) the ease with which consumers can substitute other goods for that product.
D) the cost of producing the good.
Answer: C
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What will be an ideal response?
A second-price auction:
A. has two Nash equilibriums. B. does not have a Nash equilibrium. C. leads to a winner's curse. D. avoids the winner's curse.
Economic fluctuations are defined as
a. alternating periods of significant GDP growth and decline. b. events only encountered in developing countries. c. periods of stable economic growth. d. alternating periods of unemployment falling above and below zero.
Normal goods have positive income elasticities
a. True b. False Indicate whether the statement is true or false