The demand for food is price-inelastic.
Answer the following statement true (T) or false (F)
True
There is a limit to the amount of food people want to eat. As consumption increases, the marginal benefit from eating decreases. This constraint on the demand for agricultural output is reflected in the relatively inelastic demand for food. Consumers don't increase their food purchases much when farm prices fall.
Economics
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Adam Smith believed that a nation would produce the maximum wealth by relying on government to make public interest economic decisions
a. True b. False Indicate whether the statement is true or false
Economics
Which of the following occurs when insurance makes a person more likely to engage in risky behavior?
a. lemon problem b. moral hazard c. adverse selection d. risk selection
Economics