Suppose QX d = 10,000 – 2 PX + 3 PY – 4.5M , where PX = $100, PY = $50, and M = $2,000. What is the own-price elasticity of demand?
Topic: The Production Process and Costs Quiz ( MCQ and Answer )
The demand curve for a good is horizontal when it is:
Demand is perfectly elastic when the absolute value of the own price elasticity of demand is:
If a price increase from $5 to $7 causes quantity demanded to fall from 150 to 100, what is the absolute value of the own-price elasticity at a price of $7?
If the absolute value of the own-price elasticity of steak is 0.4, a decrease in price will lead to:
The quantity consumed of a good is relatively unresponsive to changes in price whenever demand is:
If quantity demanded sneakers falls by 10% when price increases 25% we know that the absolute value of the own-price elasticity of sneakers is:
If apples have an own-price elasticity of -1.2 we know the demand is:
The own-price elasticity of demand for apples is -1.2. If the price of apples falls by 5%, what will happen to the quantity of apples demanded?
The demand for good X has been estimated by QX d =12 – 3PX + 4PY. Suppose that good X sells at $2 per unit and good Y sells for $1 per unit. Calculate the own price elasticity.
Suppose the demand for a product is QX d = 10 – lnPX then product X is
As we move down along a linear demand curve, the price elasticity of demand becomes more
A price elasticity of zero corresponds to a demand curve that is: