This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: When a 2 percent increase in price generates a greater than 2 percent decrease in quantity demanded, ... (Read 70 times)

captainjonesify

  • Hero Member
  • *****
  • Posts: 543
on: Jun 30, 2018
When a 2 percent increase in price generates a greater than 2 percent decrease in quantity demanded, then:
 a. demand is price inelastic.
  b. total revenue increases.
  c. demand is positively sloped.
  d. demand is unit elastic.
  e. total revenue decreases.

Question 2

If demand is price elastic, then when price decreases, total revenue:
 a. decreases.
  b. increases.
  c. does not change.
  d. is less than one.
  e. is negative.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Mochi

  • Sr. Member
  • ****
  • Posts: 300
Reply #1 on: Jun 30, 2018
Answer to Question 1

e

Answer to Question 2

b


captainjonesify

  • Member
  • Posts: 543
Reply 2 on: Jun 30, 2018
Great answer, keep it coming :)

essyface1

  • Member
  • Posts: 347
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

According to the CDC, approximately 31.7% of the U.S. population has high low-density lipoprotein (LDL) or "bad cholesterol" levels.

Did you know?

In 2012, nearly 24 milliion Americans, aged 12 and older, had abused an illicit drug, according to the National Institute on Drug Abuse (NIDA).

Did you know?

Long-term mental and physical effects from substance abuse include: paranoia, psychosis, immune deficiencies, and organ damage.

Did you know?

Elderly adults are at greatest risk of stroke and myocardial infarction and have the most to gain from prophylaxis. Patients ages 60 to 80 years with blood pressures above 160/90 mm Hg should benefit from antihypertensive treatment.

Did you know?

Asthma attacks and symptoms usually get started by specific triggers (such as viruses, allergies, gases, and air particles). You should talk to your doctor about these triggers and find ways to avoid or get rid of them.

The greater honeyguide, Indicator indicator. The greater honeyguide, Indicator indicator.
Greater Flamingo Greater Flamingo
Effect of Perceived Price of a Drug on Placebo Analgesia Effect of Perceived Price of a Drug on Placebo Analgesia
The Head Start program was designed to increase the school readiness of low-income children. The Head Start program was designed to increase the school readiness of low-income children.
standard reduction potential (Eo), the greater the tendency of the oxidized form of a redox couple standard reduction potential (Eo), the greater the tendency of the oxidized form of a redox couple
Cereal production in Africa may decrease by as much as 50% by 2080 in some areas Cereal production in Africa may decrease by as much as 50% by 2080 in some areas
Video: Major Elements in Biological Molecules: Nucleic acids

For a complete list of videos, visit our video library