For a normal good ?

A. The price elasticity of demand is negative the income elasticity of demand is negative
B. The price elasticity of demand is positive the income elasticity of demand is negative
C. The price elasticity of demand is negative the income elasticity of demand is positive
D. The price elasticity of demand is positive; the income elasticity of demand is positive

If a 4% increase in price leads to a increase in the quantity supplied of 8% ?

A. Supply is price elastic
B. Supply is income elastic
C. Price elasticity of demand is -2
D. Price elasticity of supply is -2

A supply curve that starts at the origin has ?

A. A price elasticity of supply greater than one
B. A price elasticity of supply equal to one
C. A price elasticity of supply less than one
D. A positive price elasticity of supply

An increase in the costs of production will ?

A. Shift demand outwards
B. Shift demand inwards
C. Shift supply outwards so more is supplied at each and every price, all other things unchanged
D. Shift supply inwards

An increase in productivity should ?

A. Lead to a contraction of supply
B. Lead to an expansion of supply
C. Lead to a shift in supply outwards (i.e more supplied at each and every price)
D. Lead to a higher equilibrium and lower equilibrium quantity

The price elasticity of supply is +4 The price increases by 15% sales were originally 200 units What will they be now ?

A. 80 units
B. 320 units
C. 60 units
D. 120 units

Aggregate demand will increase if ?

A. Consumption falls
B. Investment falls
C. Exports fall
D. Imports fall

An increase in income should ?

A. Shift demand for an inferior product outward
B. Shift demand for an inferior product inward
C. Shift supply for an inferior product outward
D. Shift supply for an inferior product inward

An increase in price all other things unchanged leads to ?

A. Shift demand outwards
B. Shift demand inwards
C. A contractions of demand
D. An extension of demand

If a product is an inferior good ?

A. Demand is inversely related to income
B. Demand in inversely related to price
C. Demand is directly related to price
D. Demand is inversely related to the price of substitutes