Author Question: In the long run, a fall in the input price causes less of an increase in factor demand A) if the ... (Read 73 times)

faduma · **on:** Jul 1, 2018

In the long run, a fall in the input price causes less of an increase in factor demand

A) if the increase of product supply affected price.
B) if the market price will decrease too.
C) if the market price remain constant.
D) if the factor demand is more elastic.

Question 2

If somebody posing as a vacationer were able to purchase large numbers of airline tickets from the airlines and later resell them to business travelers,

A) group price discrimination on the part of airlines would no longer be profitable.
B) group price discrimination on the part of airlines would no longer be profit maximizing.
C) the airlines would respond by raising further the price charged to business flyers.
D) this person would not earn any economic profit.