The price of pens increases from $2 to $2.20. At the same time, the quantity of pens demanded decreases from 100 to 90. Demand for pens is:
A. perfectly inelastic.
B. inelastic.
C. unit elastic.
D. elastic.
Answer: C
You might also like to view...
In the figure above, if the firm is regulated using an average cost pricing rule, the consumer surplus created is equal to the area of
A) ABG. B) BEFG. C) BCFG. D) BCE. E) None of the above because there is no consumer surplus created.
Refer to Table 4-3. The table above lists the marginal cost of polo shirts by Marko's, a firm that specializes in producing men's clothing. If the market price of Marko's polo shirts is $13, Marko's will produce
A) 1 shirt. B) 2 shirts. C) 3 shirts. D) 4 shirts.
A ________ is a governance structure where owners are not personally liable
A) sole proprietorship B) partnership C) mixed enterprise D) corporation
Which of the following statements is correct?
A. In 1870, Australia's per capita GDP exceeded that of the United States and has since grown on average at a lower rate B. In 1870, Australia's per capita GDP exceeded that of the United States and has since grown on average at a higher rate C. In 1870, the per capita GDP of the United States exceeded that of Australia and has since grown on average at a higher rate D. In 1870, the per capita GDP of the United States exceeded that of Australia and has since grown on average at a lower rate