Milton Friedman in his book on consumption function, discussed the importance of _____, rather than _____, to understand consumer spending

To help pay for the cost of sport related injuries, the government imposes a tax on sellers of all sports equipment. The sports equipment consumers' share of this tax would be greater than that shown in the above figure

A) only if the demand was more elastic. B) only if the demand was more inelastic. C) only if the supply was more elastic. D) if either the demand was more inelastic or the supply more elastic.

When employers sort employment applications into high-ability and low-ability people based on whether or not the applicant has a college degree (irrespective of major), they are providing evidence in support of the

a. human-capital theory of education. b. signaling theory of education. c. principle that education reduces marginal productivity. d. principle that most business owners are more interested in discriminating against a particular group than in maximizing profits.