Consider the market for bicycles. If a dealer cuts prices by 10 percent and sells 20 percent more bikes, then demand for bicycles is:
a. inelastic, and total revenue will increase.
b. elastic, and total revenue will increase.
c. inelastic, and total revenue will decrease.
d. elastic, and total revenue will decrease.
e. unit elastic, and total revenue will remain the same.
b
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Which branch of economics is most likely to study differences in countries' growth rates?
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It is correct to say that individuals _____ preferences and groups _____ preferences
a. have; have b. do not have; have c. do not have; do not have d. have; do no have
Consumers value the product-specific services for a new smartphone at $30 and the marginal cost to the retailers for providing the product-specific services is $40. If the retailers provide the product-specific services, which of the following is true?
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When the price of knee braces increased by 25 percent, the Brace Yourself Company increased its quantity supplied of knee braces per week by 75 percent. BYC's price elasticity of supply of knee braces is 0.33
a. True b. False Indicate whether the statement is true or false