Author Question: A good is said to have a relatively elastic demand if the value of price elasticity is: A) equal ... (Read 101 times)

captainjonesify · **on:** Jun 29, 2018

A good is said to have a relatively elastic demand if the value of price elasticity is:

A) equal to 0.
B) between 0 and 0.5.
C) between 0.5 and 1.
D) greater than 1.

Question 2

If Robinson makes 40 purses or 5 wallets per week, and Chamberlin makes 16 purses or 2 wallets per week, then

A) neither Robinson nor Chamberlin stands to gain by specialization and exchange.
B) both would gain through exchange if Robinson specialized in purses, Chamberlin in wallets.
C) both would gain through exchange if Robinson specialized in wallets, Chamberlin in purses.
D) only Robinson would gain through specialization and exchange.