An elasticity that would be considered only slightly inelastic would be
A. 0.1.
B. 0.9.
C. 1.0.
D. 1.1.
B. 0.9.
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In the table above, what inflation rate belongs in space E?
A) 17.0 percent B) 6.8 percent C) 8.3 percent D) 15.4 percent
Julie's demand curve for video downloads is downward sloping because as the price of a download decreases, ________ and she watches ________ videos
A) the slope of her budget line changes; fewer B) her budget line shifts inward; fewer C) the slope of her budget line changes; more D) her budget line shifts outward; more
During periods of inflation, the general price level of goods and services in the economy rises
a. True b. False Indicate whether the statement is true or false
From Example 1.2 in the textbook, Pindyck and Rubinfeld distinguish between the mass market and dealer market for bicycles. Although there are many dealers in the U.S. and only a few mass merchandisers, we should expect the dealer market to be somewhat less competitive than the mass market. Why?
D B and C are correct. A Due to their differences in quality and performance, dealer bicycles are not close substitutes. (A) C Dealers are small sellers and have little control over bicycle prices. B The geographic extent of the market for dealer bicycles is typically small, so the individual sellers do not have many local competitors. (B) E A and B are correct.