Price elasticity of demand is defined as the ratio of the:

Which of the following observations was made famous by Adam Smith in his book The Wealth of Nations?

The figure shows the market for shirts in the United States, where D is the domestic demand curve and S is the domestic supply curve. The world price is $16 per shirt. The United States imposes a tariff on imported shirts, $4 per shirt. In the figure above, with the tariff the United States imports ________ million shirts per year.

The figure shows the market for shirts in the United States, where D is the domestic demand curve and S is the domestic supply curve. The world price is $16 per shirt. The United States imposes a tariff on imported shirts, $4 per shirt. In the figure above, U.S. consumers’ ________ from the tariff is ________.

In the above figure, if the production of gloves was restricted to 1,000 a day, then the deadweight loss would equal

Price (dollars per bushel) Quantity demanded (bushels) 8 2,000 7 4,000 6 6,000 5 8,000 4 10,000 3 12,000 The table above gives the demand schedule for snow peas. The price elasticity of demand between $5.00 and $6.00 per bushel is

You are in charge of the local city-owned golf course. You need to increase the revenue generated by the golf course in order to meet expenses. The mayor advises you to increase the price of a round of golf. The city manager recommends reducing the price of a round of golf. You realize that

Units of activity Total Benefit Total Cost 1 $100 $30 2 $160 $40 3 $180 $60 4 $200 $100 5 $205 $150 6 $210 $175 The marginal cost of the 3rd unit of activity is ___.

Suppose that you have won a free ticket to see Lady Gaga performing live.  Tickets normally sell for $200, but your free ticket has no resale value.  You are really not a Lady Gaga fan—the most you would have been willing to pay for a ticket is $35!  You really want to see Shania Twain in concert on the same night.  If you choose instead to go to see Shania Twain, which is really more your style, your opportunity cost of missing the Lady Gaga concert is:

The figure shows the market for shirts in the United States, where D is the domestic demand curve and S is the domestic supply curve. The world price is $16 per shirt. The United States imposes a tariff on imported shirts, $4 per shirt. In the figure above, with the tariff Americans buy ________ million shirts per year.