You estimate that the income elasticity of demand for dairy products in the use is 0.20. If national income is predicted to decrease by 3%, what is the percentage change in dairy products expected (all else equal)?

The Fed is considering eliminating

A) primary credit lending. B) secondary credit lending. C) seasonal credit lending. D) its lender of last resort function.

Suppose a monopoly sells to two identifiably different types of customers, A and B, who are unable to practice arbitrage. The inverse demand curve for group A is PA = 10 - QA, and the inverse demand curve for group B is PB = 18 - QB

The monopolist is able to produce the good for either type of customer at a constant marginal cost of 2, and the monopolist has no fixed costs. If the monopolist practices group price discrimination, the profit maximizing prices charged to each type of customer are A) PA = 6, and PB = 10. B) PA = 4 and PB = 8. C) PA = 10, and PB = 6. D) PA = 8, and PB = 4.