Use the following to answer question 329: \[\begin{array}{l} \text { Table: Prices, Quantity Demanded, and Income for Jeremy }\\ \begin{array} { l l c c c } \hline \text { Year } & \text { Good } & \text { Price } & \text { Quantity Demanded } & \text { Income } \\ \hline 2008 & \text { Coffee } & \$ 4 & 12 & \\ 2008 & \text { Donuts } & \$ 2 & 20 & \$ 100 \\ 2008 & & & 13 & \\ 2009 & \text { Coffee } & \$ 4 & 18 & \$ 150 \\ 2009 & \text { Donuts } & \$ 2 & & \\ 2009 & & & & \\ \hline \end{array} \end{array}\] -(Table: Prices,Quantity Demanded,and Income for Jeremy)Use Table: Prices,Quantity Demanded,and Income for Jeremy.Between the 2 years listed,by the midpoint method,Jeremy's income elasticity of demand for coffee equals _____ and doughnuts are a(n)_____ good.

A) 0.20;inferior B) 2;normal C) 2;inferior D) 0.20;normal A) 0.20;inferior B) 2;normal C) 2;inferior D) 0.20;normal

Exam 6: Elasticity

The price elasticity of demand for fresh zucchini has been estimated to be 2.25.A new irrigation system yields a 25% increase in the nation's crop of fresh zucchini.Which statement BEST describes how this will affect total expenditures on zucchini,all other things equal?

(Multiple Choice)

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Question 61

Use the following to answer questions : Figure: The Demand Curve -(Figure: The Demand Curve)Use Figure: The Demand Curve.If the price is $8,total revenue is _.If the price is $7,total revenue is _.

(Multiple Choice)

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Question 62

Which characteristic is NOT true of a good with elastic demand?

(Multiple Choice)

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Question 63

Use the following to answer questions : Figure: The Linear Demand Curve -(Figure: The Linear Demand Curve II)Use Figure: Linear Demand Curve II.At prices greater than $7,demand is ___;at prices below $7,demand is _;and at $7,demand is ___.

(Multiple Choice)

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Question 64

If the price elasticity of demand for tobacco is 0.5 and the income elasticity of demand for tobacco is 0.4:

(Multiple Choice)

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Question 65

Suppose that the price elasticity of demand for blueberries in the Saguenay is 1.5.If climate change destroys one-fourth of the blueberry crop in this area,how will that affect total revenue for blueberry producers,all other things unchanged?

(Multiple Choice)

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Question 66

If funeral homes discover that the price elasticity of demand for caskets equals 0.55 at the current price,funeral homes could increase revenue by increasing the price.

(True/False)

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Question 67

A price ceiling below equilibrium will cause a larger shortage when demand is _ and supply is _.

(Multiple Choice)

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Question 68

The price elasticity of demand can be found by:

(Multiple Choice)

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Question 69

Use the following to answer question 329: Table: Prices, Quantity Demanded, and Income for Jeremy Year Good Price Quantity Demanded Income 2008 Coffee \ 4 12 2008 Donuts \ 2 20 \ 100 2008 13 2009 Coffee \ 4 18 \ 150 2009 Donuts \ 2 2009 -(Table: Prices,Quantity Demanded,and Income for Jeremy)Use Table: Prices,Quantity Demanded,and Income for Jeremy.Between the 2 years listed,by the midpoint method,Jeremy's income elasticity of demand for coffee equals _ and doughnuts are a(n)_ good.

(Multiple Choice)

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Question 70

A perfectly inelastic demand curve for insulin would mean that the quantity demanded does NOT respond at all to changes in the price of insulin.

(True/False)

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Question 71

When the price goes down,the quantity demanded goes up.The price elasticity of demand measures:

(Multiple Choice)

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Question 72

Use the following to answer questions : Figure: The Demand for eBooks -(Figure: The Demand for e-Books)If the price of e-Books increases from $6 to $8,total revenue _,which means that demand is _.

(Multiple Choice)

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Question 73

Use the following to answer questions : Figure: The Demand Curve -(Figure: The Demand Curve)Use Figure: The Demand Curve.By the midpoint method,the price elasticity of demand between $3 and $4 is approximately:

(Multiple Choice)

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Question 74

If the cross-price elasticity of demand between hamburgers and cheese is positive,these two goods must be complements.

(True/False)

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Question 75

If the percentage change in the quantity demanded of a good is greater than the percentage change in income and in the same direction,then this good will have an income elasticity _1,and it is a(n)_ good.

(Multiple Choice)

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Question 76

If the absolute value of the price elasticity of demand is greater than 1:

(Multiple Choice)

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Question 77

The director of OC Transpo,in Ottawa (their public transit authority)recently stated,"The last seven times we increased bus fares,revenues dropped." This remark suggests that the demand for bus service is elastic.

(True/False)

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Question 78

If demand is perfectly inelastic,changes in price leave total revenue unchanged.

(True/False)

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Question 79

Egg producers know that the price elasticity of demand for eggs is 0.1.If they want to increase sales by 5%,they will have to lower price by:

(Multiple Choice)

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Question 80

Showing 61 - 80 of 88

Exam 6: Elasticity

The price elasticity of demand for fresh zucchini has been estimated to be 2.25.A new irrigation system yields a 25% increase in the nation's crop of fresh zucchini.Which statement BEST describes how this will affect total expenditures on zucchini,all other things equal?

Use the following to answer questions : Figure: The Demand Curve -(Figure: The Demand Curve)Use Figure: The Demand Curve.If the price is $8,total revenue is _____.If the price is $7,total revenue is _____.

Which characteristic is NOT true of a good with elastic demand?

Use the following to answer questions : Figure: The Linear Demand Curve -(Figure: The Linear Demand Curve II)Use Figure: Linear Demand Curve II.At prices greater than $7,demand is _____;at prices below $7,demand is _____;and at $7,demand is _____.

If the price elasticity of demand for tobacco is 0.5 and the income elasticity of demand for tobacco is 0.4:

Suppose that the price elasticity of demand for blueberries in the Saguenay is 1.5.If climate change destroys one-fourth of the blueberry crop in this area,how will that affect total revenue for blueberry producers,all other things unchanged?

If funeral homes discover that the price elasticity of demand for caskets equals 0.55 at the current price,funeral homes could increase revenue by increasing the price.

A price ceiling below equilibrium will cause a larger shortage when demand is _____ and supply is _____.

The price elasticity of demand can be found by:

A perfectly inelastic demand curve for insulin would mean that the quantity demanded does NOT respond at all to changes in the price of insulin.

When the price goes down,the quantity demanded goes up.The price elasticity of demand measures:

Use the following to answer questions : Figure: The Demand for eBooks -(Figure: The Demand for e-Books)If the price of e-Books increases from $6 to $8,total revenue _____,which means that demand is _____.

Use the following to answer questions : Figure: The Demand Curve -(Figure: The Demand Curve)Use Figure: The Demand Curve.By the midpoint method,the price elasticity of demand between $3 and $4 is approximately:

If the cross-price elasticity of demand between hamburgers and cheese is positive,these two goods must be complements.

If the percentage change in the quantity demanded of a good is greater than the percentage change in income and in the same direction,then this good will have an income elasticity _____1,and it is a(n)_____ good.

If the absolute value of the price elasticity of demand is greater than 1:

The director of OC Transpo,in Ottawa (their public transit authority)recently stated,"The last seven times we increased bus fares,revenues dropped." This remark suggests that the demand for bus service is elastic.

If demand is perfectly inelastic,changes in price leave total revenue unchanged.

Egg producers know that the price elasticity of demand for eggs is 0.1.If they want to increase sales by 5%,they will have to lower price by:

First Principles

Economic Models

Supply and Demand

Consumer and Producer Surplus

Price Controls and Quotas

Taxes

International Trade

Decision Making by Individuals and Firms

The Rational Consumer

Behind the Supply Curve- Inputs and Costs

Perfect Competition and the Supply Curve

Monopoly

Oligopoly

Monopolistic Competition

Externalities

Public Goods and Common Resources

The Economics of the Welfare State

Factor Markets and the Distribution of Income

Uncertainty, risk, and Private Information

Graphs in Economics

Consumer Preferences

Indifference Curve Analysis

Filters

Use the following to answer questions : Figure: The Demand Curve -(Figure: The Demand Curve)Use Figure: The Demand Curve.If the price is $8,total revenue is _.If the price is $7,total revenue is _.

Use the following to answer questions : Figure: The Linear Demand Curve -(Figure: The Linear Demand Curve II)Use Figure: Linear Demand Curve II.At prices greater than $7,demand is ___;at prices below $7,demand is _;and at $7,demand is ___.

A price ceiling below equilibrium will cause a larger shortage when demand is _ and supply is _.

Use the following to answer questions : Figure: The Demand for eBooks -(Figure: The Demand for e-Books)If the price of e-Books increases from $6 to $8,total revenue _,which means that demand is _.

If the percentage change in the quantity demanded of a good is greater than the percentage change in income and in the same direction,then this good will have an income elasticity _1,and it is a(n)_ good.