If demand is unit elastic:
a. Total revenue and prices rise and fall together.
b. Total revenue rises as price falls.
c. Total revenue falls as price rises.
d. Total revenue remains constant as price rises or falls.
Question 2
The money supply would tend to fall if:
a. banks decide to keep more excess reserves and people convert more of their demand deposits to currency.
b. banks decide to keep more excess reserves and people deposit currency in their demand deposit accounts.
c. banks decide to keep fewer excess reserves and people deposit currency in their demand deposit accounts.
d. banks decide to keep fewer excess reserves and people convert more of their demand deposits to currency.
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