If Carmen's Coffee Company wants to increase total revenue and the price elasticity of demand is 0.43, the company should
A. Increase the price of its coffee.
B. Decrease the price of its coffee.
C. Advertise since this is the only option that will increase total revenue.
D. Keep the price constant since a price increase or decrease will cause total revenue to fall.
Answer: A
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Which of the following groups are a part of the board of governors of the Federal Reserve?
a. Federal Open Market Operations b. Commercial Banks Presidents Council c. Federal Advisory Committee d. Both A and C are parts of the board of governors of the Federal Reserve
Engineers for the Off Road Skateboard Company have determined that a 10% increase in all inputs will cause output to increase by 5%. Assuming that input prices remain constant, you correctly deduce that such a change will cause ________ as output increases.
A. average costs to increase B. total cost to decrease C. average costs to decrease D. average fixed costs to increase
If a monopolist is able to practice perfect price discrimination, there will be no deadweight loss.
Answer the following statement true (T) or false (F)
The Federal Reserve System was created in
a. 1776 b. 1894 c. 1913 d. 1930 e. 1936