"A doubling of the price of gasoline in the 1970s did not reduce consumption one iota." The person making the above claim evidently thinks the demand for gasoline is

The short-run individual supply curve of the perfectly competitive firm is:

a. the upward-sloping portion of its average variable cost curve. b. its average total cost curve. c. its marginal cost curve above average variable cost. d. its marginal cost curve above average total cost.

Assume the current one-year interest rate on a bond is 4%, and the one-year expected rate a year from now is 8%. According to the expectations theory of the term structure of interest rates, the two-year interest rate is

A. 4%. B. 6%. C. 8%. D. 12%.