A 20 percent increase in the quantity of pizza demanded results from a 10 percent decline in its price. The price elasticity of demand for pizza is
A) 0.5.
B) 2.0.
C) 10.0.
D) 20.0.
B
You might also like to view...
Suppose that you are the president of a small printing company and you are considering the purchase of new machinery. What factors must you consider in making this decision?
What will be an ideal response?
The input efficiency condition:
A. holds if at least one pair of firms share the same marginal rate of technical substitution between every pair of inputs. B. holds if at least one pair of consumers share the same marginal rate of substitution between two goods. C. holds if every pair of firms share the same marginal rate of technical substitution between every pair of inputs. D. holds if every pair of firms share the same marginal rate of substitution between two goods.
What is an example of a sequential game?
What will be an ideal response
In Figure 20.1, the increase in Real GDP might reflectÂ
A. a stronger currency. B. reduced worker productivity. C. reduced government spending. D. the end of a period of price deflation.