1. A good for which there is an inelastic price elasticity of supply has a smaller percent change in quantity than the corresponding percent change in price.

TRUE FALSE

1. Indifference curves can cross since more is better than less.

TRUE FALSE

1. The opportunity set becomes larger when a consumer's income increases

TRUE FALSE

1. The slope of the indifference curve reflects the rate at which the market allows the consumer to transform one commodity into another holding prices and income constant.

TRUE FALSE

1. A monopolist will charge a higher price and supply a lower quantity in comparison to a perfectly competitive market.

TRUE FALSE

1. If there is a negative externality generated in the production of a commodity and it is sold in a perfectly competitive market, the price of the good will be greater than is socially optimal and quantity produced will be less than what is socially optimal.

TRUE FALSE