Exam 4: Elasticity

Suppose that a new drug has been approved to treat a life-threatening disease. The demand for that drug is shown on the graph below. Prior to approval of this drug, the only treatment for this condition was any one of several non-prescription, or over-the-counter, pain relievers. The demand for one brand of the several non-prescription pain relievers is also shown on the graph. Demand for the new drug is while demand for one brand of the over-the-counter pain relievers is .

(Multiple Choice)

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Question 81

Suppose that a new drug has been approved to treat a life-threatening disease. The demand for that drug is shown on the graph below. Prior to approval of this drug, the only treatment for this condition was any one of several non-prescription, or over-the-counter, pain relievers. The demand for one brand of the several non-prescription pain relievers is also shown on the graph. If the manufacturer of the new drug chose to increase its price from $30 to $35, consumers would buy __ doses, and have _ total expenditures.

(Multiple Choice)

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Question 82

The cross-price elasticity of demand between two goods that are substitutes can never be:

(Multiple Choice)

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Question 83

If the absolute value of the price elasticity of demand for tickets to a football game is 2, then if the price increases by 1%, quantity demanded decreases by:

(Multiple Choice)

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Question 84

Refer to the figure below. When P = 4, the price elasticity of demand for the demand curve D1 is and D2 is .

(Multiple Choice)

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Question 85

If cross-price elasticity of demand between two goods is positive, the two goods are:

(Multiple Choice)

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Question 86

All else equal, the price elasticity of demand for a good tends to be lower:

(Multiple Choice)

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Question 87

If the absolute value of the slope of the demand curve is 0.25, price is $8 per unit, and quantity demanded is 12 units, then demand for this good is:

(Multiple Choice)

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Question 88

If the elasticity of demand for the latest American Idol album is 1.4, this means

(Multiple Choice)

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Question 89

When the price of insulin is $10, consumers demand 100 units; when the price is $15, consumers demand 100 units; and when the price is $20, consumers demand 100 units. Based on this information, the demand for insulin is:

(Multiple Choice)

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Question 90

Suppose two demand curves intersect and so have a point in common. At that point, demand shown by the steeper curve will be _______ the flatter curve.

(Multiple Choice)

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Question 91

If the price elasticity of demand for a good equals one, then the demand for that good is:

(Multiple Choice)

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Question 92

The price elasticity of demand is typically expressed as a positive number because:

(Multiple Choice)

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Question 93

The price elasticity of supply at a point is:

(Multiple Choice)

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Question 94

Refer to the figure below. The absolute value of the slope of the demand curve D1 is , and the absolute value of the slope of demand curve D2 is .

(Multiple Choice)

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Question 95

Refer to the figure below. When the price is equal to 8, the price elasticity of demand for the demand curve D1 is __ and for D2 the price elasticity of demand is _.

(Multiple Choice)

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Question 96

If the income elasticity for a particular good is negative, then:

(Multiple Choice)

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Question 97

If the percentage change in the price of a good is less than the resulting percentage change in the quantity demanded of that good, then the demand for that good is:

(Multiple Choice)

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Question 98

The inputs used to produce cupcakes (e.g., flour, sugar, butter, and labor) are also used to produce cookies, cakes, muffins, pies and many other goods. This suggests that:

(Multiple Choice)

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Question 99

The following graph depicts demand. The slope of the demand curve (ignoring the negative sign) is:

(Multiple Choice)

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Question 100

Showing 81 - 100 of 148

The cross-price elasticity of demand between two goods that are substitutes can never be:

If the absolute value of the price elasticity of demand for tickets to a football game is 2, then if the price increases by 1%, quantity demanded decreases by:

Refer to the figure below. When P = 4, the price elasticity of demand for the demand curve D1 is and D2 is .

If cross-price elasticity of demand between two goods is positive, the two goods are:

All else equal, the price elasticity of demand for a good tends to be lower:

If the absolute value of the slope of the demand curve is 0.25, price is $8 per unit, and quantity demanded is 12 units, then demand for this good is:

If the elasticity of demand for the latest American Idol album is 1.4, this means

When the price of insulin is $10, consumers demand 100 units; when the price is $15, consumers demand 100 units; and when the price is $20, consumers demand 100 units. Based on this information, the demand for insulin is:

Suppose two demand curves intersect and so have a point in common. At that point, demand shown by the steeper curve will be _______ the flatter curve.

If the price elasticity of demand for a good equals one, then the demand for that good is:

The price elasticity of demand is typically expressed as a positive number because:

The price elasticity of supply at a point is:

Refer to the figure below. The absolute value of the slope of the demand curve D1 is , and the absolute value of the slope of demand curve D2 is .

Refer to the figure below. When the price is equal to 8, the price elasticity of demand for the demand curve D1 is __ and for D2 the price elasticity of demand is _.

If the income elasticity for a particular good is negative, then:

If the percentage change in the price of a good is less than the resulting percentage change in the quantity demanded of that good, then the demand for that good is:

The inputs used to produce cupcakes (e.g., flour, sugar, butter, and labor) are also used to produce cookies, cakes, muffins, pies and many other goods. This suggests that:

The following graph depicts demand. The slope of the demand curve (ignoring the negative sign) is:

Thinking Like an Economist

Comparative Advantage

Supply and Demand

Demand

Perfectly Competitive Supply

Efficiency, Exchange, and the Invisible Hand in Action

Monopoly, Oligopoly, and Monopolistic Competition

Games and Strategic Behavior

Externalities and Property Rights

The Economics of Information

Labor Markets, Poverty, and Income Distribution

The Environment, Health, and Safety

Public Goods and Tax Policy

Filters

Exam 4: Elasticity

The cross-price elasticity of demand between two goods that are substitutes can never be:

If the absolute value of the price elasticity of demand for tickets to a football game is 2, then if the price increases by 1%, quantity demanded decreases by:

Refer to the figure below. When P = 4, the price elasticity of demand for the demand curve D1 is ______ and D2 is ______.

If cross-price elasticity of demand between two goods is positive, the two goods are:

All else equal, the price elasticity of demand for a good tends to be lower:

If the absolute value of the slope of the demand curve is 0.25, price is $8 per unit, and quantity demanded is 12 units, then demand for this good is:

If the elasticity of demand for the latest American Idol album is 1.4, this means

When the price of insulin is $10, consumers demand 100 units; when the price is $15, consumers demand 100 units; and when the price is $20, consumers demand 100 units. Based on this information, the demand for insulin is:

Suppose two demand curves intersect and so have a point in common. At that point, demand shown by the steeper curve will be _______ the flatter curve.

If the price elasticity of demand for a good equals one, then the demand for that good is:

The price elasticity of demand is typically expressed as a positive number because:

The price elasticity of supply at a point is:

Refer to the figure below. The absolute value of the slope of the demand curve D1 is ______, and the absolute value of the slope of demand curve D2 is ______.

Refer to the figure below. When the price is equal to 8, the price elasticity of demand for the demand curve D1 is ______ and for D2 the price elasticity of demand is _____.

If the income elasticity for a particular good is negative, then:

If the percentage change in the price of a good is less than the resulting percentage change in the quantity demanded of that good, then the demand for that good is:

The inputs used to produce cupcakes (e.g., flour, sugar, butter, and labor) are also used to produce cookies, cakes, muffins, pies and many other goods. This suggests that:

The following graph depicts demand. The slope of the demand curve (ignoring the negative sign) is:

Thinking Like an Economist

Comparative Advantage

Supply and Demand

Demand

Perfectly Competitive Supply

Efficiency, Exchange, and the Invisible Hand in Action

Monopoly, Oligopoly, and Monopolistic Competition

Games and Strategic Behavior

Externalities and Property Rights

The Economics of Information

Labor Markets, Poverty, and Income Distribution

The Environment, Health, and Safety

Public Goods and Tax Policy

Filters

Refer to the figure below. When P = 4, the price elasticity of demand for the demand curve D1 is and D2 is .

Refer to the figure below. The absolute value of the slope of the demand curve D1 is , and the absolute value of the slope of demand curve D2 is .

Refer to the figure below. When the price is equal to 8, the price elasticity of demand for the demand curve D1 is __ and for D2 the price elasticity of demand is _.