One of the reasons that price elasticities of demand are always stated as positive numbers is because
a. the numerators and denominators of the formula are both negative
b. the numerators and denominators of the formula are both positive
c. price increases always lead to increases in quantity demanded
d. price decreases always lead to decreases in quantity demanded
e. price elasticities are always negative, so we ignore the sign
E
You might also like to view...
Marginal revenue is the addition to total revenue resulting from the addition of one unit to total output.
Answer the following statement true (T) or false (F)
A slump in one industry could increase the relative attractiveness of another industry:
A. increasing the quantity of labor supplied in the latter. B. decreasing the quantity of labor supplied in the latter. C. increasing the quantity of labor demanded in the latter. D. decreasing the quantity of labor demanded in the latter.
In which regions do recessions, or economic downturns, hit the hardest?
a. Regions that produce more consumer goods. b. Regions that produce more nondurable goods. c. Regions that provide more financial services. d. Regions that produce more capital goods and rely on more housing construction.
The typical tax-haven subsidiary owns the common stock of its related operating foreign subsidiaries.
a. true b. false