Economists conceive of any resource

Economists can’t conceive of any resource or product for which the: (i) Price elasticity of demand is zero (0) and the demand curve is vertical. (ii) Price elasticity of supply is zero (0) and supply curve is vertical. (iii) Income elasticity of demand is negative. (iv) Supply curve is perfectly horizontal. (v) Opportunity costs are zero (0) and hence this is a "free good".

Please someone suggest me the right answer.

View Complete Question

Related Questions in Microeconomics

Q : Negative income tax in welfare system

Relation to the current U.S. welfare system, a suitable negative income tax plan would: (1) be much more difficult and more expensive to administer. (2) reduce some of the current disincentives for work. (3) result in a substantial de

Q : Determine elasticity of demand for

When the U.S. price elasticity of demand for gasoline is 1.0, the price elasticity of demand for gas sold through one of several gas stations along a busy highway: (w) less than 1.0. (x) 1.0. (y) greater than 1.0. (z) zero.

Q : Central bank executes clearing house

Central bank executes the function of a clearing house. Explain how? Answer: Each and every bank keeps cash reserves with central bank. The claims of banks against

Q : Decreasing price of Complementary Goods

The increase in demand for tartar sauce would be a probable result of: (1) A reduction in the price of fish. (2) An raise in the price of tartar sauce. (3) A bumper crop of the tartar sauce. (4) A raise in the price of fish. (v) The reduction in price

Q : Transaction Costs and the Survival of

Can someone help me in finding out the right answer from the given options. The firms can be successful and survive in long run merely when they consistently: (1) Produce positive economic gains. (2) Comply completely with federal regulations. (3) Ignore managerial sl

Q : Demand and Supply in short run Both

Both demand and supply of hamburgers would plummet in short run, as would be quantity sold, however we can’t be certain how the price would adjust when: (i) 75 % of the population became serious vegetarians. (ii) People abruptly decreased their intake of milk pr

Q : Enter or exit the market in

A mix of heterogeneous goods and many potential buyers and sellers which are free to enter or exit the market within the long run are among essential conditions for an industry to be: (1) a monopoly. (2) purely competitive. (3) an oli

Q : Restricting output below competitive

Below the competitive equilibrium output, restricting output will: (w) raise price above the competitive equilibrium price. (x) raise price above the marginal cost of the last unit produced. (y) generate a deadweight efficiency loss from underproducti

Q : Unitarily price elastic while small

When small raises or decreases within the price of generic bananas do not influence the total sales revenue from bananas, in that case the market demand for generic bananas is: (i) perfectly price elastic. (ii) perfec

Q : Kinked demand curves and sticky prices

Sticky prices within oligopoly markets are: (w) predicted by the kinked demand curve model. (x) substantiated by many statistical studies. (y) most common for highly differentiated products. (z) a result of price discrimination.

Discover Q & A

Leading Solution Library

Avail More Than 1441606 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads

No hassle, Instant Access

Start Discovering

18,76,764

1953635
Asked

3,689

Active Tutors

1441606

Questions
Answered

Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!

Submit Assignment