Multiple Choice
If income elasticity of demand for food is 1.75 it follows that
A) a 10 percent rise in the price of food lowers the quantity demanded of food by 17.5 percent.
B) if income rises by 10 percent, consumption of food rises by 17.5 percent.
C) if income rises by 10 percent, consumption of food falls by 17.5 percent.
D) a 1 percent rise in the price of food decreases the quantity demanded of food by 1.75 percent.
E) none of the above
Correct Answer:
Verified
Correct Answer:
Verified
Q20: Agriculture productivity has increased more rapidly in
Q39: During much of the 20th century,agricultural product
Q56: In the acreage allotment program,a farmer's acreage
Q59: Explain how the purchase of futures contracts
Q60: An increase in the supply of corn
Q99: Which of the following is true?<br>A) In
Q102: Which combination of factors would lead to
Q104: Increased productivity in the agricultural sector has
Q111: In general,agricultural price supports<br>A)raise food prices.<br>B)have no
Q145: Studies show that,in the United States,<br>A)price elasticity