The owner of a local restaurant comes to you for help. He needs to know whether or not he should increase the price of the meals he serves. To answer his question, what information would you like to know?
What will be an ideal response?
Ideally, you would want to be able to calculate the price elasticity of demand for meals at the restaurant. It would also be helpful to determine the cross-price elasticity between meals at this restaurant and other restaurants in the area.
Economics
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An increase in the income tax rate leads to a large increase in deadweight loss if ________
A) the labor supply curve is highly elastic B) the labor supply curve is perfectly inelastic C) the labor demand curve is elastic D) the labor demand curve is perfectly inelastic
Economics
The national economic forecast for the next two years prepared by the staff of the Board of Governors is published in the
A) green book. B) beige book. C) blue book. D) Fed book.
Economics