If the quantity demanded of hamburgers increases by 20 percent when the price decreases by 5 percent, then the price elasticity of demand is

A currency depreciation affects total spending in the short run through expenditure switching, but the net external wealth effect also can influence:

A) other types of expenditure such as consumption or investment. B) the ability of the nation to keep up technologically, since new capital will be more expensive. C) the production function of the home country. D) the ability of the government to conduct monetary policy.

Each firm in a monopolistically competitive industry faces a downward-sloping demand curve because

a. there are many other sellers in the market. b. there are very few other sellers in the market. c. the firm's product is different from those offered by other firms in the market. d. the firm faces the threat of entry into the market by new firms.