When the price of oysters decreases 25%, quantity demanded is unchanged. The price elasticity of demand for oysters is
A. unitary elastic.
B. inelastic.
C. elastic.
D. perfectly inelastic.
Answer: D
You might also like to view...
The marginal cost curves slope upward because of the principle of
A) decreasing marginal benefits. B) increasing marginal cost. C) increasing marginal benefits. D) decreasing marginal cost. E) decreasing total benefit.
Refer to Figure 4-6. What area represents producer surplus at the equilibrium price of P1?
A) A + B + C + D + E B) A + B + D C) D + E D) D + E + G + H
Just under half of the people in the world who live in extreme poverty live in China and India combined.
Answer the following statement true (T) or false (F)
A decrease in demand is shown graphically by a:
a. Downward movement along the demand curve b. Decrease in the cost of production c. Movement up along the demand curve d. Shift of the demand curve to the left