Exam 6: Elasticities

If the elasticity of supply coefficient for a good is 6,we know:

If the price elasticity of demand was 4.0 (in absolute terms),a 10% off sale would lead to:

Put the following products in order from the least to the most elastic demand: Domino's pizza,pizza,and pizza from Domino's on the corner of Main Street and 8th Avenue.

In the graph below,a tax increase would be paid:

If the measured elasticity of supply coefficient equals 0.6,then supply is:

A tax is imposed on orange juice.Consumers will bear no burden from this tax if the:

If the price elasticity coefficient equals 4.2,then demand is relatively inelastic with regard to price.

If the elasticity of demand for mothballs is 0.50,then moving along the demand for mothballs:

A perfectly inelastic supply curve is:

Calculate the elasticity of demand when an increase in supply causes the equilibrium price and quantity to change from $9 and 2,000 to $7 and 3,000,respectively.

An increase in price will cause a firm's total revenue to increase if demand is price elastic.

If the elasticity of supply of a good was 2,how much would the price have to increase to lead to an increase in output of 6 percent?

If 400 apple pies are sold at $4 per pie,but 500 apple pies are sold at $3 per pie,we know from the total revenue rule:

In a recent fare war,America West reduced the price of its roundtrip airfare from Charlotte,North Carolina,to New York City from $198 to $138 to match American Airlines.America West matched the fare reluctantly,saying it would cost the company millions of dollars in revenue for those tickets to be sold for less.American,on the other hand,believed the fare cut would increase its revenue even if rival airlines matched the lower fares.What different assumptions about the underlying price elasticity of demand for airline tickets on that route did each airline believe true?

The Shoe Emporium reduces the price of its shoes by 50% and finds that the quantity demanded for its shoes more than doubles.The demand for shoes from The Shoe Emporium appears to be:

A tax is imposed on wine.Sellers will bear the full burden of this tax if the:

If the government wanted a tax to raise a great deal of revenue but not burden producers much,it would want to tax an industry with

Exhibit 6-3 Refer to Exhibit 6-3.The graph that best illustrates a relatively inelastic (but not perfectly inelastic)demand curve is:

Which of the following is associated with relatively elastic demand?

Which of the following would be most inelastic with regard to price?