Author Question: The owner of a produce store found that when the price of a head of lettuce was raised from 50 cents ... (Read 120 times)

tfester · **on:** Jul 1, 2018

The owner of a produce store found that when the price of a head of lettuce was raised from 50 cents to 1, the quantity sold per hour fell from 18 to 8. The arc elasticity of demand for lettuce is

A) -0.56.
B) -1.15.
C) -0.8.
D) -1.57.

Question 2

Purchasing a season pass to the local symphony

A) is an example of first degree price discrimination.
B) is an example of second degree price discrimination.
C) is an example of third degree price discrimination.
D) All of the above.