If the university administration plans to hike tuition charges in the hope of increasing tuition revenues, we know
A) they are assuming an elastic demand.
B) they are assuming an inelastic demand.
C) they cannot succeed because of the law of demand.
D) they must be running in the red.
E) they will only succeed if more students can be enrolled at no cost.
B
Economics
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Suppose the economy's production function is Y = AK0.3N0.7. If K = 2000, N = 100, and A = 1, then Y = 246. If A rises by 10 percent, and K and N are unchanged, by how much does Y increase?
A) 5% B) 10% C) 15% D) 20%
Economics
A variable cost is one that changes
a. in the long run only b. in the short run only c. year to year d. month to month e. as output changes
Economics