Last year when John graduated and received a 20 percent pay increase, the average number of restaurant meals he consumed rose from one a week to three a week. Hence his income elasticity for restaurant meals is

Monopolies can misallocate resources by restricting output in an attempt to raise prices and profits

a. True b. False Indicate whether the statement is true or false

The amount of new output produced per year for both consumption and additions to capital stock is measured by:

A.  GDP B.  Net investment C.  NDP D.  Net exports