If a good has a price elasticity of demand of -3, it implies that:
A) if the income of the consumer increases by 3%, the quantity demanded of that good will increase by 1%.
B) if the income of the consumer increases by 1%, the quantity demanded of that good will increase by 3%.
C) if the price of the good increases by 1%, the quantity demanded of the good will decrease by 3%.
D) if the price of the good increases by 3%, the quantity demanded of the good will increase by 1%.
C
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In calculating the unemployment rate, part-time workers over the age of 16 are counted as
A) not in the labor force. B) employed if they are part-time workers for noneconomic reasons and unemployed if they are involuntary part-time workers. C) not in the working-age population. D) unemployed. E) employed.
For a perfectly competitive firm, as its output increases its marginal revenue ________ and its marginal cost ________
A) changes; changes B) changes; does not change C) does not change; changes D) does not change; does not change