A price cut will decrease the total revenue a firm receives if the demand for its product is:
a. elastic
b. inelastic.
c. unit elastic.
d. unit inelastic.
b
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A report on the dangers of cholesterol would likely shift the demand curve for beef downward and to the left.
Answer the following statement true (T) or false (F)
The change from prescriptive rights to priority rights meant all of the following except
(a) Entrepreneurial costs of economic development, such as river and lake pollution, had to be paid by those who were responsible for the costs. (b) The courts encouraged entrepreneurial activity by judicial interpretation. (c) Amenity rights to scenery, clear air and quiet enjoyment could be reduced. (d) Judges placed social weights upon property rights that favored some more than others.
Kate's Great Crete (KGC) is a local monopolist of ready-mix concrete. Its annual demand function is Q = 20,000 - 400P, where P is the price, in dollars, of a cubic yard of concrete and Q is the number of cubic yards sold per year. What is KGC's marginal revenue function?
A. MR = 20,000 - 200Q B. MR = 400 - 10,000Q C. MR = 50 - (1/400)Q D. MR = 50 - 0.005Q
Which of the following is not a function of the Fed?
a. To supervise and regulate banks. b. Dealing with financial crises. c. To print currency. d. Check clearing. e. Acting as a "bank for banks".