If the price of good A increases from $15 to $20 per unit and quantity demanded falls from 150 to 100 units, then by using the method of average values, we can calculate the absolute price elasticity of demand to be
A) 2.6.
B) 0.75.
C) 1.4.
D) 2.4.
C
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Money cannot serve as a medium of exchange unless it also serves as a store of value. Is this statement true or false? Explain
What will be an ideal response?
If the government increases the income tax rate:
A. disposable income decreases. B. disposable income increases. C. disposable income remains unaffected. D. total income increases.
The most successful free trade agreements achieve all of the following goals, except:
a. benefiting exporters by increasing exports to member countries. b. ensuring that production occurs on the basis of comparative advantage. c. benefiting consumers by making a wider variety of goods available at a lower price. d. stimulating trade creation to allow the benefits of trade to be realized. e. protecting domestic industries from foreign competition.
Which of the following is an equilibrium condition for the goods market in the short-run? # randomize
A. measured savings equal measured investment B. Desired savings equal desired investment C. Money demand equals money supply D. Consumption equals savings