The price elasticity of supply of hot dog buns is estimated to be 1.5. Holding everything else constant, this means that a 10 percent decrease in the price of hot dog buns will cause the quantity of hot dog buns supplied to decrease by
A) approximately 25 percent. B) 1.5 percent.
C) approximately 5 percent. D) 15 percent.
D
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A recent medical study reports new benefits of cycling. Simultaneously, the price of the parts needed to make bikes falls. The demand curve would _________ and the supply curve would__________
a. Shift to the right, shift to the left b. shift to the left, shift to the right c. shift to the left, shift to the left d. shift to the right, shift to the right
Which of the following is a correct statement?
a. Fiscal policy is the use of tax and spending policies by Congress and the president. b. Fiscal policy involves the control of the money supply by the Federal Reserve Bank. c. Monetary policy involves the control of the money supply by Congress and the president. d. Monetary policy is the use of tax and spending policies by the Federal Reserve Bank.
If the demand curve for a firm's output is P=100-Q, the total revenue curve will be
A. TR=100-2Q. B. TR=100Q-Q2. C. TR=P*Q. D. TR=100Q-2Q2.
The marginal utility from consuming the second ice cream cone is
a. the extra satisfaction you get from consuming the second ice cream cone. b. the extra satisfaction you get from consuming the first ice cream cone. c. the total satisfaction you get from consuming both ice cream cones. d. none of the above.