If an economy's MPC is 0.8 and the MPM is 0.05, then an increase in government spending of $2,000 will increase income by

Refer to the scenario above. Based on the given information, we can conclude that the market for used cell phones in Barylia:

A) has asymmetric information. B) is perfectly competitive. C) is monopolistically competitive. D) has only one seller.

If demand is inelastic, an increase in the price of a good will cause total expenditures on the good to

a. fall. b. remain constant since the decrease in quantity sold is exactly offset by the price increase. c. rise. d. rise if it is a normal good and fall if it is an inferior good.