Robert must always have sugar in his coffee. For Robert, the cross price elasticity of demand for coffee and sugar is

Minimum efficient scale refers to the lowest level of output at which

A) the firm can earn a profit. B) average cost is minimized. C) the firm will operate. D) the average cost curve is downward sloping.

Holding all other forces constant, if decreasing the price of a good leads to an increase in total revenue, then the demand for the good must be

a. unit elastic. b. inelastic. c. elastic. d. None of the above is correct because a price decrease never leads to an increase in total revenue.