In the figure above, using the midpoint method, what is the price elasticity of demand between points A and B?
A) 0.05
B) 0.13
C) 0.43
D) 1.00
E) 2.33
C
You might also like to view...
Tom's consumption possibilities is defined by
A) his income and the prices of the goods that he consumes. B) his preferences for consumption of the goods that he consumes. C) the prices of the goods that he consumes only. D) his income only.
Competition in the form of advertising, better customer service, or longer warranties can also reduce profits by raising costs
Indicate whether the statement is true or false
Tight monetary policy ________ interest rates which ________ the demand for a currency and ________ the fundamental value of the exchange rate.
A. increases; increases; decreases B. increases; decreases; increases C. decreases; decreases; decreases D. increases; increases; increases
The Keynesian approach assumes that
A. the economy is self-regulating. B. the government budget is always in deficit. C. the price level does not change. D. there is no unemployment in the economy.