A good's price elasticity of demand can be calculated by using the formula of
A. absolute change in quantity demanded divided by absolute change in price.
B. percentage change in quantity demanded divided by percentage change in price.
C. percentage change in price divided by percentage change in income.
D. percentage change in price divided by percentage change in quantity demanded.
Answer: B
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Compared with price searchers' markets, price takers' markets are likely to result in
A) less advertising. B) less competition. C) lower output. D) more profit.
The U.S. provides about _____ percent of the annual membership fees of IMF member countries
a. 5.6 b. 10.2 c. 15.3 d. 17.3 e. 22.4
Deflation can render monetary policy powerless
a. True b. False
If a technological breakthrough reduces input quantities needed to produce some item,
a. cost of production will be increased. b. the price of the product will rise. c. the price of the product will fall. d. quantity demanded of the product will fall.