This topic contains a solution. Click here to go to the answer

Author Question: Under what circumstances will the economic rent earned by a factor of production always be zero? ... (Read 66 times)

leilurhhh

  • Hero Member
  • *****
  • Posts: 560
Under what circumstances will the economic rent earned by a factor of production always be zero?
 
  A) Infinitely inelastic supply curve
  B) Infinitely elastic supply curve
  C) Somewhat inelastic supply curve
  D) Elastic demand curve

Question 2

Suppose the demand for gourmet coffee can be represented by a linear demand curve. At the prevailing market price the income elasticity of demand for gourmet coffee is 2. When income rises the demand curve for gourmet coffee:
 
  A) becomes less elastic at every price.
  B) becomes less elastic at the price that prevailed before the change in income
  C) becomes more elastic at every price
  D) becomes more elastic at the price that prevailed before the change in income



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

alexanderhamilton

  • Sr. Member
  • ****
  • Posts: 334
Answer to Question 1

B

Answer to Question 2

A




leilurhhh

  • Member
  • Posts: 560
Reply 2 on: Jul 1, 2018
Wow, this really help


diana chang

  • Member
  • Posts: 288
Reply 3 on: Yesterday
:D TYSM

 

Did you know?

Not getting enough sleep can greatly weaken the immune system. Lack of sleep makes you more likely to catch a cold, or more difficult to fight off an infection.

Did you know?

There are actually 60 minerals, 16 vitamins, 12 essential amino acids, and three essential fatty acids that your body needs every day.

Did you know?

Hip fractures are the most serious consequences of osteoporosis. The incidence of hip fractures increases with each decade among patients in their 60s to patients in their 90s for both women and men of all populations. Men and women older than 80 years of age show the highest incidence of hip fractures.

Did you know?

Drug abusers experience the following scenario: The pleasure given by their drug (or drugs) of choice is so strong that it is difficult to eradicate even after years of staying away from the substances involved. Certain triggers may cause a drug abuser to relapse. Research shows that long-term drug abuse results in significant changes in brain function that persist long after an individual stops using drugs. It is most important to realize that the same is true of not just illegal substances but alcohol and tobacco as well.

Did you know?

Vital signs (blood pressure, temperature, pulse rate, respiration rate) should be taken before any drug administration. Patients should be informed not to use tobacco or caffeine at least 30 minutes before their appointment.

For a complete list of videos, visit our video library