Price elasticity of demand basically measures
A) the reliability of a product.
B) the responsiveness of consumers to price changes.
C) the variability of price changes.
D) the percentage change in market price as a result of a change in demand.
Answer: B
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Which of the following is not considered a major player in the financial system?
A. Banks B. Savers C. Businesses D. Labor unions.
If nothing else changes but the velocity of money doubles in the economy, the price level will decrease
Indicate whether the statement is true or false
One key characteristic that is distinctive of an oligopoly market is that
a. the demand curve facing each firm is downward sloping, with a marginal revenue curve that lies below the firm's demand curve. b. the decisions of one seller often influence the price of products, the output, and the profits of rival firms. c. there is only one firm that produces a product for which there are no good substitutes. d. there are many sellers in the market and each is small relative to the total market.
If Rachel bought too many hot dogs, her marginal utility would become negative and her total utility would
A. rise more slowly. B. stop rising. C. begin to fall. D. become negative.