If the U.S. Postal Service raised its first-class postage rate by 10 percent and found (to its surprise) total receipts from first-class mail service subsequently increased by 10 percent, the demand for first-class mail service would be
A) completely elastic.
B) completely inelastic.
C) greater than anticipated.
D) unit elastic.
E) upward sloping.
Question 2
The table above has the domestic demand and domestic supply schedules for a good. If the world price of the good is 10 and international trade occurs, then according to the table
A) domestic production is higher before trade than after trade.
B) the country imports 16 units a day.
C) the country imports 6 units a day.
D) the country exports 6 units a day.
E) the country exports 22 units a day.
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