Which of the following is likely to have the most price elastic demand?
a. dental floss
b. milk
c. salt
d. diamond earrings
d
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An increase in the level of real GDP in the economy leads to
A) a leftward shift in the demand for money curve. B) a rightward shift in the demand for money curve. C) a leftward movement along the demand for money curve. D) a rightward movement along the demand for money curve.
All of the following statements regarding the marginal revenue product (MRP) curve and the demand for labor are true EXCEPT
A) an individual firm's demand for labor is its MRP curve. B) under conditions of perfect competition, MRP equals marginal physical product multiplied by the product's price. C) an increase in the market demand for a given product decreases the product's price. D) the demand for labor is a derived demand.
After investigating an idea to open a rooftop restaurant in the downtown area of your community, you discover that any rooftop restaurant would violate city regulations. These circumstances would not be considered normal due to:
A. market failure. B. goals other than profit. C. innovation. D. intervention.
Of the following, which group is hurt by a tariff?
A) domestic consumers of the good B) domestic government C) foreign government D) foreign consumers of the good E) domestic producers of the good