If the price elasticity of supply of tablets is constant and equal to 2.5, a 10 percent increase in price will result in a change in quantity supplied equal to

Suppose that savers become much more willing to purchase a certain type of municipal bond. The result will be that the bond's price will

A) fall relative to the price of U.S. Treasury securities but rise relative to the price of corporate bonds. B) rise relative to the price of U.S. Treasury securities but fall relative to the price of corporate bonds. C) rise relative to the prices of U.S. Treasury securities and corporate bonds. D) fall relative to the prices of U.S. Treasury securities and corporate bonds.

According to the efficient markets hypothesis, stocks follow a random walk so that stocks that increase in price one year are more likely to increase than decrease in the next year

a. True b. False Indicate whether the statement is true or false