The conventional fiscal policy to fight inflation would be to
A. increase the rate of monetary growth.
B. decrease the rate of monetary growth.
C. run a government surplus.
D. run a government deficit.
C. run a government surplus.
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Florida State University has just lowered the price of its season football tickets from $350.00 to $300.00. As a result, there was an increase in the number of season tickets purchased from 43,000 to 47,000
The price elasticity of demand for season tickets equals A) 1.71. B) 1.58. C) 0.71. D) 0.58.
Which of the following statements is correct for the case of a downward-sloping demand curve (beyond the first unit of output)?
A) P = AR = MR B) P = AR > MR C) P > AR > MR D) P = AR < MR
Some companies subject their applicants to extensive tests. Why?
A) to reduce the informational asymmetry between the firm and the applicant B) to screen the applicant to avoid the problem of adverse selection C) to gather more information about the applicant D) All of the above.
If demand is price inelastic, then when price rises, total revenue
a. will fall. b. will rise. c. will remain unchanged. d. may rise, fall, or remain unchanged. More information is need to determine the change in total revenue with certainty.