Economists usually assume that ________ is a fixed input in the ________ run.

Explain why Relative PPP is useful when comparing countries that base their price levels on different product baskets

What will be an ideal response?

If the quantity of bread demanded rises 2 percent when the price of bread declines 10 percent, then the price elasticity of demand is: a. 0.2

b. 1. c. 2. d. 10. e. Cannot be determined.