The demand curves for gold in New York and Zurich can both be represented by a line with negative slope, -b. When the price is zero the demand for gold is x ounces higher in New York than in Zurich
At the current price of gold the price elasticity of demand for gold in New York and Zurich is -3 and -4 respectively. The value of x equals A) a quarter of the current demand for gold in New York
B) a third of the current demand for gold in New York
C) a half of the current demand for gold in New York
D) three-quarters of the current demand for gold in New York
E) none of the above
A
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Advances in medical practice have increased both expected lifespans and medical expenditures. What does the life-cycle hypothesis predict as the macroeconomic consequences?
What will be an ideal response?
Since the 1930s, third-party payments for health care have
A) risen from about 5 to 90 percent of total payments. B) declined from about 95 to 10 percent of total payments. C) declined from about 70 to 30 percent of total payments. D) risen from about 30 to 50 percent of total payments.