The slope of the budget constraint, when a consumer has reached optimal consumption of two goods, is equal to the
A. Total utility for the two goods.
B. Marginal rate of substitution.
C. Cross-price elasticity of the two goods.
D. Marginal rate of indifference.
Answer: B
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According to your textbook, which procedure is the general rule to follow in order to maximize net revenue?
A) Always choose a 25 percent markup if demand is inelastic. B) Always choose a 25 percent markup if demand is elastic. C) Always choose a markup between 50 and 100 percent (inclusively) if demand in inelastic. D) Always choose no more than a 10 percent markup if demand is perfectly elastic. E) None of the above.
Is the poverty rate the lowest among Hispanic households, black households, or white households?
What will be an ideal response?
During the ________ output tended to exceed its natural level and inflation ________
A) late 1980s, accelerated B) 1990s, accelerated C) 1960s and early 1970s, accelerated D) early 1980s, decelerated
Which of the following is FALSE?
a. To reduce cannibalization among products, make the products more homogenous b. After acquiring a substitute product, raise prices on both the products c. After acquiring a complementary product, lower prices on both the products d. All of the above