If a 6 percent increase in income leads to a 4 percent increase ...

[crobinson2013]

If a 6 percent increase in income leads to a 4 percent increase in quantity demanded for audio books, the income elasticity of demand is
 
  A) -0.67. B) 0.67. C) 1.5. D) 2.

Question 2

What does a firm's production function show and how is it related to a total product curve?
 
  What will be an ideal response?

[covalentbond]

Answer to Question 1

B

Answer to Question 2

A firm's production function is the relationship between the maximum output attainable and the quantities of both capital and labor. The total product curve shows the maximum output that a given quantity of labor can produce for a given quantity of capital.

[crobinson2013]

Thanks for the timely response, appreciate it

[chereeb]

Gracias!