The cross-price elasticity of demand for peanut butter with respect to the price of jelly is -0.3. If we expect the price of jelly to decline by 15%, what is the expected change in the quantity demanded for peanut butter?

What is consumer surplus?

a) a buyer's willingness to pay, minus price b) a buyer's willingness to pay, plus price c) the price of the product minus the buyer's willingness to pay d) the price of the product plus the buyer's willingness to pay

A fixed-proportion production function has isoquants that are

a. almost flat (i.e., the isoquants are almost straight lines). b. L-shaped. c. normally shaped (rectangular hyperbolas). d. None of the above.