Which of the following describes a situation in which demand must be inelastic?

a. Total revenue decreases by 10 percent when the price of spats rises by 10 percent.
b. Total revenue decreases by less than 10 percent when the price of spats rises by 10 percent.
c. Total revenue increases by more than 10 percent when the price of spats rises by 10 percent.
d. Total revenue decreases by $10 when the price of spats rises by $10.
e. Total revenue decreases by more than $10 when the price of spats rises by $10.


C

Economics

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Explain why some costs are considered to be variable and some fixed. How does time enter into the definition?

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In the classical model, a self-regulating market would

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If a perfectly competitive firm sells 50 units of output at a market price of $10 per unit, its marginal revenue is:

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Economics