Demand is income elastic if
A) a large percentage increase in income results in a small percentage increase in quantity demanded.
B) a small percentage increase in income results in a large percentage increase in quantity demanded.
C) an increase in income does not affect the quantity demanded.
D) the good in question has close substitutes.
B
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Modern statistical methods have created a new branch of economics called
a. microeconomics b. macroeconomics c. econometrics d. abstract economics e. positive economics
The median voter theorem states that a. the median voter will never hold the decisive vote in an election. b. policies that are enacted will be least preferable to the median voter. c. the median voter will hold the decisive vote in an election
d. policies that are enacted will be most preferred by the median voter.