Jill earns an income of $2,000 a week and goes out to dinner 4 times a week. If her income increased to $2,100 she would go out to dinner 5 times a week. Jill's income elasticity of demand is

The substitution effect of a wage rate decrease suggests that

A. individuals will supply less work. B. individuals will consume less leisure. C. individuals will supply more work and consume less leisure. D. individuals will supply more work.

When there is an externality in a market

A) government intervention may increase economic efficiency. B) the government should use price controls to enable the market to reach equilibrium. C) the externality will move the market to an economically efficient equilibrium. D) the externality will cause the market price to be less than or greater than the equilibrium price.