Exam 5: Price Elasticity of Demand and Supply

Exhibit 5-3 Demand curves for gallons of orange juice Price Albert Betty Carl Dana Edward 10 0 1 2 0 0 9 0 1.5 2 0.5 0 8 0 2 2 2 4 7 0 2.5 2 3.5 8 6 1 3 3 5 12 5 3 3.5 3 6.5 16 4 5 4 3 8 20 3 7 4.5 3 9.5 24 2 9 5 3 11 28 1 11 5.5 3 12.5 32 -Using Exhibit 5-3, whose elasticity of demand is greatest when the price falls from $7 to $6?

(Multiple Choice)

4.9/5

(43)

Question 181

In the long run, price elasticities of demand are usually ____.

(Multiple Choice)

4.8/5

(38)

Question 182

Exhibit 5-1 Demand curve -In Exhibit 5-1, between points b and c, the price elasticity of demand measures

(Multiple Choice)

4.8/5

(34)

Question 183

The long-run price elasticity of demand is usually larger than the short-run price elasticity of demand because:

(Multiple Choice)

4.9/5

(38)

Question 184

Another word for elasticity is:

(Multiple Choice)

4.7/5

(28)

Question 185

If Jackie needs special film to go with her new camera, then for her these two goods have what type of relationship?

(Multiple Choice)

4.8/5

(41)

Question 186

The price elasticity of demand between rifles and bullets is likely to be:

(Multiple Choice)

4.9/5

(39)

Question 187

The price elasticity of demand coefficient for a good will be greater:

(Multiple Choice)

4.9/5

(36)

Question 188

Which of the following statements is not true?

(Multiple Choice)

4.9/5

(36)

Question 189

As the period for firms to expand output is lengthened, the elasticity of the market supply curve will:

(Multiple Choice)

4.9/5

(39)

Question 190

If the economy is in recession and the number of used baby clothing stores increases, then:

(Multiple Choice)

4.8/5

(28)

Question 191

Suppose the value of income elasticity of demand for a private college education is equal to 1.5. This means that:

(Multiple Choice)

4.8/5

(34)

Question 192

If a revenue-maximizing firm is told that the price elasticity of demand is equal to one, it should:

(Multiple Choice)

4.8/5

(32)

Question 193

Price elasticities of supply are always:

(Multiple Choice)

4.9/5

(39)

Question 194

Firms would like to know the price elasticity of demand for their products because it helps determine the effect of price changes on the firms':

(Multiple Choice)

4.8/5

(32)

Question 195

If a decrease in the price of theater tickets increases the total revenue earned by the theater, this is evidence that demand is:

(Multiple Choice)

4.7/5

(32)

Question 196

If Stimpson University increases tuition in order to increase its revenue, it will:

(Multiple Choice)

4.8/5

(37)

Question 197

Applying supply and demand analysis, other factors held constant, the steeper the supply curve (more elastic), the larger the burden of a sales tax that is borne by the sellers.

(True/False)

4.9/5

(34)

Question 198

The value of cross elasticity of demand between orange soda and grape soda is:

(Multiple Choice)

5.0/5

(32)

Question 199

Inferior goods have an income elasticity of demand that is:

(Multiple Choice)

4.7/5

(36)

Question 200

In the long run, price elasticities of demand are usually ____.

Exhibit 5-1 Demand curve -In Exhibit 5-1, between points b and c, the price elasticity of demand measures

The long-run price elasticity of demand is usually larger than the short-run price elasticity of demand because:

Another word for elasticity is:

If Jackie needs special film to go with her new camera, then for her these two goods have what type of relationship?

The price elasticity of demand between rifles and bullets is likely to be:

The price elasticity of demand coefficient for a good will be greater:

Which of the following statements is not true?

As the period for firms to expand output is lengthened, the elasticity of the market supply curve will:

If the economy is in recession and the number of used baby clothing stores increases, then:

Suppose the value of income elasticity of demand for a private college education is equal to 1.5. This means that:

If a revenue-maximizing firm is told that the price elasticity of demand is equal to one, it should:

Price elasticities of supply are always:

Firms would like to know the price elasticity of demand for their products because it helps determine the effect of price changes on the firms':

If a decrease in the price of theater tickets increases the total revenue earned by the theater, this is evidence that demand is:

If Stimpson University increases tuition in order to increase its revenue, it will:

Applying supply and demand analysis, other factors held constant, the steeper the supply curve (more elastic), the larger the burden of a sales tax that is borne by the sellers.

The value of cross elasticity of demand between orange soda and grape soda is:

Inferior goods have an income elasticity of demand that is:

Introducing the Economic Way of Thinking

Production Possibilities, Opportunity Cost, and Economic Growth

Market Demand and Supply

Markets in Action

Consumer Choice Theory

Production Costs

Perfect Competition

Monopoly

Monopolistic Competition and Oligopoly

Labor Markets

Income Distribution, Poverty, and Discrimination

Antitrust and Regulation

Environmental Economics

International Trade and Finance

Economies in Transition

Growth and the

Filters

Exam 5: Price Elasticity of Demand and Supply

In the long run, price elasticities of demand are usually ____.

Exhibit 5-1 Demand curve ​ -In Exhibit 5-1, between points b and c, the price elasticity of demand measures

The long-run price elasticity of demand is usually larger than the short-run price elasticity of demand because:

Another word for elasticity is:

If Jackie needs special film to go with her new camera, then for her these two goods have what type of relationship?

The price elasticity of demand between rifles and bullets is likely to be:

The price elasticity of demand coefficient for a good will be greater:

Which of the following statements is not true?

As the period for firms to expand output is lengthened, the elasticity of the market supply curve will:

If the economy is in recession and the number of used baby clothing stores increases, then:

Suppose the value of income elasticity of demand for a private college education is equal to 1.5. This means that:

If a revenue-maximizing firm is told that the price elasticity of demand is equal to one, it should:

Price elasticities of supply are always:

Firms would like to know the price elasticity of demand for their products because it helps determine the effect of price changes on the firms':

If a decrease in the price of theater tickets increases the total revenue earned by the theater, this is evidence that demand is:

If Stimpson University increases tuition in order to increase its revenue, it will:

Applying supply and demand analysis, other factors held constant, the steeper the supply curve (more elastic), the larger the burden of a sales tax that is borne by the sellers. ​ ​

The value of cross elasticity of demand between orange soda and grape soda is:

Inferior goods have an income elasticity of demand that is:

Introducing the Economic Way of Thinking

Production Possibilities, Opportunity Cost, and Economic Growth

Market Demand and Supply

Markets in Action

Consumer Choice Theory

Production Costs

Perfect Competition

Monopoly

Monopolistic Competition and Oligopoly

Labor Markets

Income Distribution, Poverty, and Discrimination

Antitrust and Regulation

Environmental Economics

International Trade and Finance

Economies in Transition

Growth and the

Filters

Exhibit 5-1 Demand curve -In Exhibit 5-1, between points b and c, the price elasticity of demand measures

Applying supply and demand analysis, other factors held constant, the steeper the supply curve (more elastic), the larger the burden of a sales tax that is borne by the sellers.