Suppose that the elasticity of demand for a product is 0.5 and quantity demanded increases by 20%. What must the percentage decrease in price have been?
A. 0.5%
B. 5%
C. 10%
D. 40%
Answer: D
Economics
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What problem are mechanism designers attempting to overcome when they "design mechanisms" to provide public goods?
What will be an ideal response?
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In the figure above in the market for high-skilled labor, the equilibrium wage rate is
A) $16. B) $8. C) $20. D) $28.
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Generally, the opportunity cost and the money cost of a good
a. are identical only if the good sells in a free market. b. are different. c. matter only to the purchaser of the good. d. are not reflected in its price.
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Entry deterrence is always the best strategy for a monopolist.
Answer the following statement true (T) or false (F)
Economics