Exam 4: Elasticity

Elasticity along a demand curve:

Demand tends to be more elastic:

Ray just got a raise,and decided to splurge on a fancy dinner to celebrate.The change to Ray's demand for fancy dinners could be captured by the:

Dolls are __________________ than Barbie dolls because ___________________.

A good whose demand is unitary elastic refers to:

Income elasticity will be positive for:

The resulting change in the quantity of gas demanded of increasing prices over the last decade:

A tavern is likely to have a ______________________ price elasticity of supply than an antiques dealer due to ______________________.

If total revenue increases as a result of a price increase:

When a small percentage change in price causes a large percentage change in the quantity demanded,we say that they have a:

Markers are _______________________ than Sharpies because ____________________.

Different measurements of elasticity include:

A perfectly elastic demand is one in which:

A rare coin dealer is likely to have a _______________ price elasticity of supply than a coffee shop due to ____________________.

How much the demand for one good changes in response to a change in the price of a different good is measured by:

If a good has an income elasticity of 1.83,which of the following can be said about it?

A good that has an income elasticity of 2.3 is:

Assuming elasticity is reported in absolute value,a unit elastic good:

Many say that there is no substitute for a real diamond.This would imply that diamonds:

A pack of gum is ______________ than a steak because _______________.