If the price of a burger decreases by 5 percent and as a result the quantity of burgers demanded increases by 8 percent, the price elasticity of demand equals
A) 0.60.
B) 0.40.
C) 1.60.
D) 0.625.
C
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A firm's marginal revenue is defined as:
a. the ratio of total revenue to total quantity produced. b. the additional output produced by lowering price. c. the additional revenue received due to technical innovation. d. the additional revenue received when selling one more unit of output.
Which of the following is not true about income quintiles?
a. Only one in seven households in the bottom quintile has anybody working full time b. Only one in three households in the top quintile has anybody working at all c. A primary contributor to the smaller share of income going to the bottom quintile has been the growth of single-parent households d. Three out of four households in the top quintile have two or more working e. A primary contributor to the larger share of income going to the top quintile has been the growth of two-earner households
Mid-Point Method
What will be an ideal response?
A patent
A. is often necessary to motivate inventions. B. makes a good that has recently been invented more expensive than it could be. C. is better for a writer of books than it is for an inventor of medicines. D. is often necessary to motivate inventions and makes a good that has recently been invented more expensive than it could be.