A price elasticity of demand of 2 for a specific cola means that if the price increases 1 percent, the quantity demanded of the cola will decrease by 2 percent

Which of the following was NOT cited as contributing to unusual uncertainty having an adverse effect on aggregate supply?

A) the possibility that Congress may let the 2001, 2003 tax cuts to expire B) the Fed's limited use of monetary policy in fighting the recession C) the severity of the financial crisis D) concern that the Affordable Care Act would increase the cost of hiring workers

The marginal rate of technical substitution may be defined as all of the following except:

a. the rate at which one input may be substituted for another input in the production process, while total output remains constant b. equal to the negative slope of the isoquant at any point on the isoquant c. the rate at which all combinations of inputs have equal total costs d. equal to the ratio of the marginal products of X and Y e. b and c