« previous next »

Author Question: Suppose the log-linear demand for widgets is found to be Ln(Q) = 1.5 - 2ln(p) According to this ... (Read 37 times)

leo leo

  • Hero Member
  • *****
  • Posts: 566
on: Jul 1, 2018
Suppose the log-linear demand for widgets is found to be
 
  Ln(Q) = 1.5 - 2ln(p)
  According to this equation, a 10 increase in price will decrease Q by what percentage? What is the price elasticity of demand?

Question 2

Diseconomies of scale can be caused by
 
  A) the law of diminishing returns.
  B) bureaucratic inefficiencies.
  C) increasing advertising and promotional costs.
  D) All of the above


Ahernandez18

  • Sr. Member
  • ****
  • Posts: 361
Reply #1 on: Jul 1, 2018
Answer to Question 1

20, E = -2.

Answer to Question 2

B


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Every flu season is different, and even healthy people can get extremely sick from the flu, as well as spread it to others. The flu season can begin as early as October and last as late as May. Every person over six months of age should get an annual flu vaccine. The vaccine cannot cause you to get influenza, but in some seasons, may not be completely able to prevent you from acquiring influenza due to changes in causative viruses. The viruses in the flu shot are killed—there is no way they can give you the flu. Minor side effects include soreness, redness, or swelling where the shot was given. It is possible to develop a slight fever, and body aches, but these are simply signs that the body is responding to the vaccine and making itself ready to fight off the influenza virus should you come in contact with it.

Did you know?

Only one in 10 cancer deaths is caused by the primary tumor. The vast majority of cancer mortality is caused by cells breaking away from the main tumor and metastasizing to other parts of the body, such as the brain, bones, or liver.

Did you know?

It is widely believed that giving a daily oral dose of aspirin to heart attack patients improves their chances of survival because the aspirin blocks the formation of new blood clots.

Did you know?

As the western states of America were settled, pioneers often had to drink rancid water from ponds and other sources. This often resulted in chronic diarrhea, causing many cases of dehydration and death that could have been avoided if clean water had been available.

Did you know?

Lower drug doses for elderly patients should be used first, with titrations of the dose as tolerated to prevent unwanted drug-related pharmacodynamic effects.

The formation of a chimeric gene that is found in people with certain forms of leukemia. The formation of a chimeric gene that is found in people with certain forms of leukemia.
Ignition timing marks are found on the harmonic balancers that are equipped with distributor ... Ignition timing marks are found on the harmonic balancers that are equipped with distributor ...
Marginal Supply - Demand Curve Marginal Supply - Demand Curve
The introduction of a new generation of electric and hybrid cars will reduce the demand for oil The introduction of a new generation of electric and hybrid cars will reduce the demand for oil
Linear lesions Linear lesions
Suppose the market supply curve is p = 5Q. If price increases from 10 to 15, the change in ... Suppose the market supply curve is p = 5Q. If price increases from 10 to 15, the change in ...
Video: Summary of female reproductive cycle days 1-28

For a complete list of videos, visit our video library