Which of the following goods is likely to have the highest price elasticity of demand?

Economic growth in Cuba has been slow; what can best explain the slow growth?

A) Lack of economic resources B) Lack of incentive mechanisms and economic freedom C) Labor productivity is low. D) A non-democratic form of government E) Too much competition within the economy

An incumbent announces it will significantly increase output in the next period, but only has contracts for the amount produced this period. The announcement is a

A) credible threat. B) non-credible threat. C) commitment. D) mixed strategy.