A 2 percent increase in income increases the quantity demanded of a good by 1 percent. The income elasticity of demand for this good is _______. The good is a _______ good

Gary Franklin is a movie critic. He invented the Franklin Scale with which he rates movies from 1 to 10 (10 being best). When asked about his scale, Mr. Franklin explained "that it is a subjective measure of movie quality

A movie with a ranking of 10 is not necessarily 10 times better than a movie with a ranking of 1, but it is better. A movie with a ranking of 5 is better than a movie with a ranking of 1, but is not as good a movie with a ranking of 10. That's all it really tells you." Based on Mr. Franklin's description, his scale is: A) ordinal but not cardinal. B) cardinal but not ordinal. C) an objective standard to judge movies. D) neither cardinal nor ordinal.

Most companies that sell CDs by mail deliver in 1 to 2 weeks. Mosey Music, Inc, takes 4 weeks to deliver CDs. We should expect that Mosey Music

a. will lose all its customers b. will not lose customers because the good in question is CDs, not the delivery date c. will have to charge more for its CDs to make up for the business it loses through slow delivery d. will have to charge less for its CDs to compete with firms that deliver CDs faster e. will be able to charge the same amount for its CDs as other firms do, as long as the CD quality is the same