Which of the following is associated with a less elastic demand curve?
a. availability of many close substitutes
b. a greater amount of time for consumers to respond to a price change
c. a smaller percentage of income spent on the good in question
d. all of the above
c
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Technological innovation in the production of computers has led to
A) a decrease in the quantity demanded for computers. B) a rightward shift of the supply curve for computers. C) a decrease in the quantity supplied of computers. D) None of the above.
Private solutions often are not possible due to the costs of negotiating and enforcing these solutions. Such costs are called: a. transaction costs
b. external costs. c. deadweight losses. d. social costs.
Which of the following is in charge of U.S. aid to foreign countries?
a. International Monetary Fund (IMF) b. Agency for International Development (AID) c. New International Economic Order (NIEO) d. World Bank
What will increase long-run aggregate supply?
What will be an ideal response?