At a price of $9.50/pound, people buy 45 pounds of lamb. At a price of $10.50/pound, people buy 35 pounds of lamb. What is the arc elasticity of demand for lamb in this price range?
a. 1.0
b. 2.5
c. 0.4
d. 3.0
e. none of the
b. 2.5
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According to the new growth theory
A) technology should be considered as a factor of production. B) technology is a natural by-product of invention. C) technology plays a minor role in economic development. D) technology provides few rewards to the society.
What is the idea of fairness based on fair rules?
What will be an ideal response?
Exempting food purchases from sales tax is consistent with the ability-to-pay principle, although not necessarily consistent with vertical equity
Indicate whether the statement is true or false
The "accelerator hypothesis" of investment states that a firm's net investment is most closely related to the
A) level of its actual sales. B) change in its actual sales. C) level of its expected sales. D) change in its expected sales.