Using the average price and average quantity, what is the ...

[geoffrey]

Using the average price and average quantity, what is the elasticity of demand for oranges when the price of oranges changes from 200 to 160 per bushel and so the quantity demanded changes from 1000 to 1400 bushels?
 
  A) 1.5
  B) 0.1
  C) 10.0
  D) 0.67

Question 2

Suppose the real interest rate rises and the quantity of loanable funds decreases. These changes could have been the result of
 
  A) firms expecting higher future profits.
  B) an increase in disposable income.
  C) an increase in household wealth.
  D) a decrease in the default risk.

[wilsonbho]

Answer to Question 1

A

Answer to Question 2

C

[geoffrey]

Thanks for the timely response, appreciate it

[robbielu01]

Wow, this really help