If a decrease in the price of football tickets increases the total revenue of the athletic department, this is evidence that demand is:
a. price elastic.
b. price inelastic.
c. unit elastic with respect to price.
d. perfectly inelastic.
a
You might also like to view...
Competition best describes a market failure that provides an economic rationale for government intervention in markets
Indicate whether the statement is true or false
Why do we say that the demand for labor is a derived demand?
Who determines rationality?
a. the person observing the choice b. the person making the choice c. the person providing the choice d. the person affected by the choice
If firms sharply increase the number of investment projects undertaken when interest rates fall and sharply reduce the number of investment projects undertaken when interest rates increase, then, ignoring the crowding out effect,
A) expansionary fiscal policy will be very effective. B) expansionary monetary policy will be very effective. C) contractionary fiscal policy will be very effective. D) contractionary monetary policy will not be very effective.