"The Department of Agriculture came out today with its prediction for food price next year—4 to 5 percent increases on top of this year's already steep gains… Eggs, dairy products and cereals are up 10 percent
But the USDA says another big part of the American diet has seen only moderate price increases. Beef, poultry and pork will be up only 3 percent this year." Calculate Jennika's price elasticity of demand for pork if she decreases her consumption by 4 percent. A) 1.25
B) 1
C) 0.75
D) 0.66
A
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Which of the following is TRUE about firms organized along functional lines?
a. Workers find it difficult to develop functional expertise b. Workers can easily share information within their division c. They inhibit the exploitation of economies of scale d. All of the above
A common example of indexing in the United States is: a. annual bonuses to workers
b. wage increases with seniority. c. 30-year fixed-rate mortgage loans. d. escalator clauses tied to the CPI in wage agreements.