If an increase in price causes total expenditure on a product to decrease, then the price elasticity of demand is:
a. inelastic
b. elastic.
c. unit elastic.
d. zero.
b
You might also like to view...
A monopolistically competitive firm's marginal revenue curve
A. is downward-sloping and coincides with the demand curve. B. does not exist because the firm is a "price maker." C. is downward-sloping and lies below the demand curve. D. coincides with the demand curve and is parallel to the horizontal axis.
The price of jet fuel falls. This fall shifts the
A) demand curve for airplane trips rightward. B) demand curve for airplane trips leftward. C) supply curve of airplane trips rightward. D) supply curve of airplane trips leftward.
Real GDP in 2015 is $10 trillion. Between 2015 and 2016, using 2015 prices, GDP grew 3 percent and using 2016 prices real GDP grew 7 percent. Using the chain-weighted output index method, real GDP in 2016 is ________ trillion
A) $10.5 B) $11 C) $10.1 D) $12.72
The order of inventories for production as they are needed is known as ________
A) just-in-time production B) production smoothing C) work in process D) stock out avoidance