If Herbert, the hair stylist, raises the price of his cuts from 13 to 15 and finds the number of cuts falls from 300 to 260, then the demand for Herbert's cuts in this range is:
a. price inelastic.
b. price elastic.
c. unit elastic.
d. cross elastic.
e. income inelastic.
Question 2
If Sam, the Pizza Man, lowers the price of his pizzas from 6 to 5 and finds that sales increase from 400 to 600 pizzas per week, then the demand for Sam's pizzas in this range is:
a. price inelastic.
b. price elastic.
c. unit elastic.
d. cross elastic.
e. income inelastic.
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