The above figure shows the market for steel ingots. What is the total surplus under social optimum?

For a given product, income elasticity of demand relates the percentage change in:

a. quantity demanded to the percentage change in income. b. quantity demanded to the absolute change in income. c. income to the percentage change in price. d. price to the absolute change in quantity demanded. e. income to the percentage change in quantity available for sale.

Which of these is the key assumption of the Classical school of economic thought? a. An economy is self-adjusting in nature

b. Wages and prices are sticky downward. c. Economic agents are rational in behavior. d. Labor is the source of wealth in an economy.