Exam 4: Elasticity

Suppose that the price elasticity of demand for bottled water in Sackville,New Brunswick is 1.5,while the price elasticity of demand for bottled water in Prince Albert,Saskatchewan is 0.93.This implies that the demand in Sackville is ________ and demand in Prince Albert is ________.

Suppose a fall from $110 to $90 in the price of playing golf on a public golf course results in an increase in the quantity of golf balls demanded (at the current price of golf balls)from 9,950 units to 10,050 units.The cross elasticity of demand of playing golf with respect to the price of golf balls is

The demand for a good is price inelastic if

Short-run supply is

The demand for orange juice is price elastic.A severe frost,which destroys large quantities of oranges will

For which one of the following will demand be the most price elastic?

If the supply curve passes through the origin,then the price elasticity of supply is ________.

The elasticity of supply for airplane travel one day in advance of the departure date is most likely to be

When Erika's income increases by 6 percent,her demand for tickets to professional hockey games increases by 3 percent.Erika's demand for tickets is income ________.For Erika,hockey tickets are ________ good.

Suppose Clyde always eats ice cream and chocolate syrup together.If the price of syrup increases by 10 percent,and the cross elasticity of demand is -2,the quantity of ice cream demanded

The cross elasticity of demand between any two goods is defined as the

Suppose this coming winter France will have unusually bad weather,and that next year's wine crop will be substantially reduced.Select the best statement.

The longer the time that has elapsed since a price change the more time consumers will have to respond to price changes.As a result,demand becomes

Use the table below to answer the following questions. Table 4.2.2 Price of Jolt Price of Coke Income Level Jolt Sales 2006 \ 1.00/ can \ 1.00/ can \ 25,000 15,000 cases 2007 \ 1.00/ can \ 1.40/ can \ 25,000 25,000 cases 2008 \ 1.00/ can \ 1.40/ can \ 35,000 15,000 cases 2009 \ 1.40/ can \ 1.40/ can \ 35,000 5,000 cases -Refer to Table 4.2.2.The cross elasticity of demand for Jolt with respect to the price of Coke is

Which one of the following will yield a measured price elasticity of demand of 5.0? A 10 percent rise in price results in a

Factors that influence the elasticity of demand include

A fall in the price of X from $6 to $4 results in an increase in the quantity of Y demanded (at the current price of Y)from 900 to 1,100 units.What is the cross elasticity of demand between X and Y?

A fall in the price of a good from $10.50 to $9.50 results in an increase in the quantity demanded from 18,800 to 21,200 units.The price elasticity of demand is

A good has a price elasticity of demand equal to 2.If new imports lower its price from $1.20 to $0.80,the percentage change in quantity demanded will be

If a rise in the price of good A from $9 to $11 results in an increase from 9,500 to 10,500 units supplied,then