12) If the demand curve for a good is unit price elastic and the supply curve is perfectly
price elastic, a $1 specific tax imposed on the sellers of this good will
A) shift the demand curve down vertically by $1.
B) not raise price at all.
C) shift the supply curve up vertically by $1.
D) cause price to increase but by less than $1.
13) Which of the following is an example of an
14) Indifference curves that are thick violate
15) If the utility for two goods "x" and "y" is measured as U
y, then it can be
16) Joe's income is $500, the price of food (F) is $2 per unit, and the price of shelter (S) is
$100. Which of the following represents his budget constraint?
D) All of the above.
17) If both prices decreases by 50%