Multiple Choice
Which of the following describes a situation in which demand must be elastic?
A) The price of dish soap rises by 10 cents, and quantity of dish soap demanded falls by 50.
B) The price of dish soap rises by 10 cents, and total revenue rises.
C) A 20 percent increase in the price of dish soap leads to a 20 percent decrease in the quantity of dish soap demanded.
D) Total revenue does not change when the price of dish soap rises.
E) Total revenue decreases when the price of dish soap rises.
Correct Answer:
Verified
Correct Answer:
Verified
Q215: When a third party pays a larger
Q216: If a third party pays for an
Q217: When the 2010 Patient Protection and Affordable
Q218: During the last three decades, the real
Q219: How has public policy influenced the incentives
Q221: John is a well-known consultant who makes
Q222: The demand for salt is<br>A) inelastic because
Q223: If the supply of health-care services is
Q224: A 10 percent increase in the price
Q225: If a 10 percent increase in income