A - What is the shape of the demand curve if its elasticity is infinite? A) Parallel to the quantity axis B) Line exiting the origin C) Isosceles hyperbola D) Parallel to the price axis E) Bell curve
A - What is the shape of the
A) Parallel to the quantity axis B) Line exiting the origin
C) Isosceles hyperbola D) Parallel to the
B - : What is the elasticity of a linear demand curve drawn parallel to the quantity axis?
A) 2 B) infinite C) -1 D) 1 E) 0
C - : If aggregate demand increases in an economy while aggregate demand is constant in the short run, which of the following statements is correct for the new equilibrium point?
A) price decreases national income increases B) price increases national income increases
C) price increases and national income does not change
D) price goes up and national income goes down
E) price decreases and national income decreases.
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