If the price were increased from $94 to $96 and quantity demanded fell from 38 to 37, calculate elasticity; state whether demand is elastic, unit elastic, or inelastic, and find how much total revenue was when the price was $94 and $96.
What will be an ideal response?
P1 = $94; P2 = $96; Q1 = 38; Q2 = 37.
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Which of the following would cause a leftward shift of the supply curve for computers?
a. an increase in the price of printed circuit boards used to build computers b. a decrease in the price of electricity c. an increase in incomes of consumers d. a decrease in the price of computers e. a decrease in the size of the population
If the supply of a good is relatively inelastic, this means that the quantity supplied of the good is
a. not very sensitive to the price of the good. b. highly sensitive to the price of the good. c. unrelated to the price of the good. d. none of the above.
Which of the following industries most closely approximates pure competition?
A. Agriculture. B. Farm implements. C. Clothing. D. Steel.
The primary goal of a business firm is to
A) promote fairness. B) make a quality product. C) promote workforce job satisfaction. D) maximize profit. E) increase its production.