Which of the following statements is false?
a) Income elasticity of demand is positive for inferior products.
b) Income elasticity of demand is negative for inferior products.
c) Income elasticity of demand is positive for normal goods.
d) None of the above.
Answer: a) Income elasticity of demand is positive for inferior products.
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Refer to Scenario 10.9. At the profit maximizing level of output, what is the level of consumer surplus?
A) 0 B) 1,800 C) 2,700 D) 3,600 E) 4,800
The owner(s) of a corporation
A) is the entrepreneur. B) are the shareholders. C) are the bondholders. D) is the CEO.
A computer game is an example of
A) a free product. B) an information product. C) a search product. D) a credibility product.
The portion of the public debt held outside federal agencies and the Federal Reserve is:
A. equally split between U.S. and foreign lenders. B. smaller than the portion held by federal agencies and the Federal Reserve. C. all held by foreign lenders. D. larger than the portion held by federal agencies and the Federal Reserve.