If a small percentage increase in the price of a good results in a rather large percentage reduction in the quantity demanded of the good, demand is said to be

Which of the following statements is true of British colonies in Jamaica and Barbados?

A) Production was based on well-defined property rights and private ownership of resources. B) The institutions set up in colonies in Jamaica and Barbados were mostly inclusive. C) Participation of the natives in politics was greatly limited. D) The colonies were similar to the ones set up in North America.

When interest rates are artificially lowered through expansionary monetary policy,

A) longer-term investment projects appear to be more profitable. B) production of capital goods increases. C) the economy experiences an unsustainable boom phase. D) the economy will likely fall into a recession in the longer run. E) all of the above tend to occur.