Demand is elastic if the consumer has only a few substitutes to choose from.
Answer the following statement true (T) or false (F)
False
Demand is more elastic when there are many substitutes for the consumer to choose from. When a price rises, many consumers with available substitutes will switch, and the quantity demanded will drop by a greater percentage than the price increase.
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The number of part-time workers for economic reasons ________ during recessions and the number of part-time workers for noneconomic reasons ________ during recessions
A) increases; does not change B) increases; increases C) decreases; increases D) increases; decreases E) does not change; does not change
Refer to Table 2-11. What is China's opportunity cost of producing one pound of wheat?
A) 0.04 units of a digital camera B) 4 digital cameras C) 25 digital cameras D) 40 digital cameras