Whenever the absolute value of the price elasticity of demand is greater than 1, but less than infinite
A) demand is inelastic.
B) demand is unit elastic.
C) demand is elastic.
D) demand is perfectly elastic.
Answer: C
Economics
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Figure 4.4 illustrates the supply of tacos. A decrease in the supply of tacos is represented by a movement from
A) point a to point b. B) point c to point b. C) S0 to S1. D) S2 to S1.
Economics
An increase in the price level shifts the AE curve
A) upward and shifts the AD curve leftward. B) upward and shifts the AD curve rightward. C) downward and shifts the AD curve rightward. D) downward and does not shift the AD curve. E) downward and shifts the AD curve leftward.
Economics