According to this Application, why did the recent decrease in oil prices have only a modest effect on economic growth?
A) Consumers may have saved the money that resulted from lower gasoline prices.
B) There was less incentive to produce energy and invest in new capital and equipment.
C) Government spending decreased significantly.
D) Both A and B are correct.
D
Economics
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Leo's Bakery reduces the price of wheat bread from $3 to $1 and finds that quantity demanded increases from 100 to 122 loaves. Leo calculates that his price elasticity of demand for wheat bread is:
a. 0. b. 0.2. c. 1.0. d. 1.5. e. 2.0
Economics
An increase in wage rate, other things constant, shifts the aggregate supply curve downward
a. True b. False Indicate whether the statement is true or false
Economics