Demand is inelastic when a price ________ results in total revenue ________
A) rise; decreasing
B) fall; increasing
C) rise, increasing
D) fall, remaining the same
C
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The London gold fixing is an example of a(n)
A) dealer market. B) Walrasian auction market. C) brokered market. D) secondary market.
About planning on capacity utilization: Producers typically
a. disregard interest rates when making long-term decisions about capacity utilization b. end up with high interest rates when planning for future capacity utilization c. operate at 100 percent capacity d. enjoy carrying excess productive capacity e. choose a capacity rate that gives them some degree of short-run flexibility
Figure 3-5
In , if the initial demand for margarine were D1, an increase in the price of butter, which is a substitute for margarine, would tend to cause which of the following changes in the market for margarine?
a.
a shift in the demand curve from D1 to D2
b.
a shift in the demand curve from D2 to D1
c.
a movement along demand curve D1 from a to b
d.
a movement along demand curve D1 from b to a
Exhibit 3-5 Supply for Tucker's Cola Data Quantity supplied per week(millions of gallons) Price pergallon 6 $3.00 5 2.50 4 2.00 3 1.50 2 1.00 1 .50 As shown in Exhibit 3-5, the price and quantity supplied by sellers of Tucker's Cola have a(n) ____ relationship.
A. direct. B. inverse. C. negative. D. zero.