Refer to the figure below. When the price is equal to 8, the price elasticity of demand for the demand curve D1 is ________ and for D2 the price elasticity of demand is ________.  

A. 1; 4
B. 4; 1
C. 2; 4
D. 4; 4


Answer: A

Economics

You might also like to view...

Negative externalities and the tragedy of the commons are problems that have a common source. What is this common source?

A) a lack of competition B) self-interest motives of producers and consumers C) a lack of clearly-defined and enforced property rights D) an overabundance of resources

Economics

When the optimal quantity of consumption is zero for a given good:

A. a ban is often the best solution. B. changing social norms is often the best solution. C. privatizing the good is often the best solution. D. government provision of the good is often the best solution.

Economics

The law of diminishing marginal utility states that as additional units are consumed, satisfaction per unit will decline

a. True b. False Indicate whether the statement is true or false

Economics

The short-run aggregate supply curve:

A. ?Is a schedule showing the relationship between the price level and the quantity of real GDP supplied. B. ?Is typically upward sloping. C. reflects output prices changing relative to input prices. D. ?all of the above

Economics