Use the information in Scenario 4.2. What is the price elasticity of demand if the price of artichokes is $10?
A) 0
B) -0.25
C) -1
D) -4
E) negative infinity
B
You might also like to view...
Gross private domestic investment
a. excludes all investment in the United States by foreign firms b. includes all capital in the United States c. includes net additions to the capital stock plus all new corporate stocks and bonds d. includes expenditures on new factories, tools, and machinery e. excludes the expenditures on residential structures and the cost of changes in inventories
Firms will try to signal superior quality of their goods by:
A. advertising. B. making sales information available to the public and advertising. C. issuing warranties or guarantees. D. making sales information available to the public.
If the ________ effect is greater than the ________ effect, a decrease in interest rates will decrease saving and increase consumption spending by households.
A. income; substitution B. consumption; wealth C. wealth; consumption D. substitution; income
Related to the Economics in Practice on p. 590: The fact that recessions can be hard to forecast means that the
A. implementation lag is usually short. B. response lag is nonexistent. C. recognition lag can be long. D. recognition lag is usually short.