According to this Application, for approximately 12 million homeowners in 2012, the amount owed on mortgages was higher than the actual value of the homes. These homeowners used borrowed funds to purchase their homes, a practice known as

Theory suggests that minimum-wage laws create ________ unemployment, especially among younger workers

A) frictional B) cyclical C) structural D) under-reported

The bus company in Detroit found that when it reduced its price in order to get more people to use the bus—and more people did—the bus company's total revenue still remained the same. Why did they get this surprising result? a. The demand curve was horizontal, reflecting a price elasticity of zero. b. The demand curve was vertical, reflecting a price elasticity of zero. c. The demand curve

shifted to the right. d. The price elasticity within the range of price-before-the-cut and price-after-the-cut was unit elastic. e. The price cut was insufficient. A deeper cut would have increased total revenue.