Solved

Tonya Consumes 40 Steaks a Year When Her Yearly Income

Question 108

Multiple Choice

Tonya consumes 40 steaks a year when her yearly income is $40,000. After her income falls to $35,000 a year, she consumes only 35 steaks a year. Calculate her income elasticity of demand for steaks.


A) -1
B) 1
C) -12.5
D) 12.5

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q103: Most people, when asked, cannot name the

Q104: Suppose that it is extremely inexpensive to

Q105: Since roughly 1950, total revenues in the

Q106: The demand for oil is inelastic because

Q107: The elasticity of demand measures:<br>A) how responsive

Q109: The demand curves for Good A and

Q110: The price of cigars is $10, with

Q111: If two linear demand curves run through

Q112: With certain goods, such as high-quality Scotch

Q113: Consumers today spend less on food than