We expect the price elasticity of supply to be
A) negative.
B) positive.
C) between -1 and +1.
D) zero.
B
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Which of the following groups of individuals is classified as unemployed?
a. Individuals who have voluntarily quit their old jobs and are looking for new ones. b. Individuals on strike. c. Individuals on vacation. d. None of the above are considered to be unemployed. e. All of the above are considered to be unemployed.
What happens to consumer surplus in the iPod market if iPods are normal goods and buyers of iPods experience an increase in income?
a. Consumer surplus decreases. b. Consumer surplus remains unchanged. c. Consumer surplus increases. d. Consumer surplus may increase, decrease, or remain unchanged.
Explain why insurance companies may find themselves at times having to refuse business.
What will be an ideal response?
Starting from long-run equilibrium, an increase in autonomous investment results in ________ output in the short run and ________ output in the long run.
A. lower; potential B. higher; higher C. lower; higher D. higher; potential