The market demand for wheat is Q = 100 - 2p + 1pb, where pb is the price of barley. The cross price elasticity of demand for wheat with respect to barley
A) cannot be calculated from just the information provided.
B) is negative.
C) suggests that wheat and barley are complements.
D) equals 1.
A
You might also like to view...
For the economy as a whole, spending on advertising comprises about what percent of total firm revenue?
a. 0.5 b. 2 c. 10 d. 20
The cost associated with foregoing the opportunity to employ a resource in its best alternative use is called:
A. a sunk cost. B. an opportunity cost. C. a fixed cost. D. total cost.
Small savers would rather use financial institutions than lend directly to borrowers because:
A. lenders wouldn't want to deal with small savers. B. it allows them to diversify risk. C. the liquidity is lower with financial institutions but the return is higher. D. financial institutions will offer the savers higher interest rates than the savers could obtain directly from borrowers.
In a certain economy, the components of planned spending are given by: C = 500 + 0.8(Y - T) - 300rI P = 200 - 400rG = 200NX = 10T = 150 Given the information about the economy above, which expression gives autonomous expenditures?
A. [760 ? 700r ] B. [790 ? 700r ] C. 0.8Y D. [910 ? 700r ]