Assume the short-run average total cost for a perfectly competitive industry remains constant as the output of the industry expands. In the long run, the industry supply curve will:

Referring to Figure 2.1,if you increase the production of farm goods, what other area is affected?

A) how much people can purchase B) the production of manufactured goods C) the wages earned by farm workers D) the price of produce

If a 20 percent increase in the price of a used car results in a 10 percent decrease in the quantity of used cars demanded, then the demand for used cars is

A) elastic. B) inelastic. C) unit elastic. D) arc elastic.