If E1 is the demand elasticity for a product after a price change has been in effect one day, E2 is the demand elasticity for that product after one week, and E3 is demand elasticity for that product after one month,

When the benefits of producing a good or service spill over to other people, rather than just the buyer, the spillover is referred to as

A) an external benefit. B) an external cost. C) a marginal cost. D) an equilibrium social output. E) a Coasian good.

Suppose people expect inflation to be 3 percent during the next several years. When the real interest rate is 5 percent, the money, or nominal interest rate, will be

a. 1 percent. b. 4 percent. c. 7 percent. d. 8 percent.