A measure of the responsiveness of demand to changes in income, all other things being constant, is
A. cross price elasticity of demand.
B. price elasticity of demand.
C. income elasticity of demand.
D. price income elasticity of demand.
Answer: C
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"Brain-drain" refers to the:
A. Relatively low levels of human capital in low-income countries B. Impact of migration on human capital levels in high-income countries C. Emigration of highly educated workers to higher income countries D. Inability of workers in low-income countries to achieve the levels of human capital possessed by workers in high-income countries.
On a graph, an upward-sloping curve that is flatter as you move away from the origin indicates a
A) positive relationship with an increasing slope. B) positive relationship with a decreasing slope. C) negative relationship with an increasing slope. D) negative relationship with a decreasing slope.
The purchase by a foreign government of an airplane produced in the United States is included in U.S
A) government purchases. B) investment expenditures. C) consumption expenditures. D) net exports.
Why might incomes of $1 a day and $2 a day underestimate the value of the goods and services that these households actually consume?
What will be an ideal response?