When the Gizmo Company could sell a gizmo for $10, it produced 2,500 per month. More recently, the price of a gizmo has fallen to $9 and so Gizmo is only producing 2,000 units per month. What is the price elasticity of supply for gizmos?
A. -2.11
B. -0.47
C. 0.47
D. 2.11
Answer: D
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An individual in the labor force whose employment was involuntarily terminated is
A. part of the PPI. B. a job loser. C. a job reentrant. D. a job leaver.
Assume the demand for coffee increases and the supply of coffee decreases. Which of the following outcomes is certain to occur?
A. The equilibrium quantity of coffee will fall. B. The equilibrium price of coffee will fall. C. The equilibrium price of coffee will rise. D. The equilibrium quantity of coffee will rise.