Question 1

If the price of suntan lotion increases from $6 to $8 per bottle and quantity demanded decreases from 900,000 bottles to 845,000 bottles,using the midpoint method,what is the price elasticity of demand for suntan lotion?

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Question 2

-Steve sells hotdogs from a vending cart downtown.The table above shows his daily total revenues at four different prices.Between which two prices is the demand for hotdogs
a.elastic?
b.unit elastic?
c.inelastic?

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-Steve sells hotdogs from a vending cart...

Question 3

-The table above gives the supply schedule for a product.Using the midpoint method,find the price elasticity of supply between points A and B,between B and C,between C and D,and between D and E.

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-The table above gives the supply schedule...

Question 4

-The table above gives the demand schedule for a good.Using the midpoint method,find the price elasticity of demand between points A and B,between B and C,between C and D,and between D and E.

Accepted Answer

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-The table above gives the demand schedule...

Question 5

If the price elasticity of supply of corn is 3.12,then is the supply of corn elastic or inelastic?

Accepted Answer

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Question 6

-The table above gives the demand schedule for a good.What is the total revenue at point A? At point B? At point C? At point D? At point E?

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-The table above gives the demand schedule...

Question 7

Natural gas is difficult to store.What implication does this fact have for the elasticity of supply of natural gas?

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Question 8

How does elasticity of supply differ for a product that can be stored,compared to a product that cannot be stored?

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Question 9

If the price of a magazine increases from $5 to $7 and the quantity demanded of the magazines decreases from 10 million per month to 8 million per month,using the midpoint method,what is the price elasticity of demand? Show your work.Is the demand elastic,inelastic,or unit elastic?

Accepted Answer

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Question 10

List factors that increase the price elasticity of supply.

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Question 11

Suppose bad weather decreases the quantity of wheat by 12 percent.If the price elasticity of demand for wheat is 0.6,how would the crop failure affect the price of wheat? Would the crop decrease benefit or harm wheat farmers?

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Question 12

Suppose the quantity supplied of computers increases from 2 million to 4 million units as the price of a computer increases from $600 to $700.What does the price elasticity of supply equal?

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Question 13

Suppose the price elasticity of demand for bouquets of flowers is 4.0.You are charging $8 per bouquet.If you want to increase the quantity of bouquets you sell by 20 percent,what price should you charge?

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The answer of Suppose the price elasticity of demand for...

Question 14

-The table above gives the demand schedule for museum visits.
a.You,as the resident economist,have been given the task of maximizing the museum's total revenue.What admission price should you charge?
b.What is the elasticity of demand between $6 and $4?
c.Moving along the demand schedule from $10 to $8 to $6 and ultimately to $4,how does the price elasticity of demand change in size?

Accepted Answer

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-The table above gives the demand schedule...

Question 15

-In the figure above,at which point (a,b,or c)along the linear demand curve illustrated would demand be
a.most elastic?
b.most inelastic?

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-In the figure above,at which point (a,b,or...

Question 16

Is supply more elastic or less elastic as more time passes after a price change? Explain your answer.

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Question 17

If the price increases by 20 percent and the quantity supplied increases by 40 percent,what does the elasticity of supply equal?

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Question 18

Suppose the price of flour increases from $0.80 to $1.00 a pound and the quantity demanded decreases from 100 pounds to 95 pounds.Using the midpoint method,what is the price elasticity of demand for flour? Is the demand for flour elastic or inelastic?

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Question 19

What is the price elasticity of supply? List and briefly define three cases of the price elasticity of supply.

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Question 20

-The figure above shows the demand curve for pizza.Using the midpoint method and moving from point A to point B,calculate the
a.percentage change in price.
b.percentage change in quantity demanded.
c.price elasticity of demand.

Accepted Answer

The answer of 
-The figure above shows the demand curve...

Quiz 5: Elasticities of Demand and Supply

If the price of suntan lotion increases from $6 to $8 per bottle and quantity demanded decreases from 900,000 bottles to 845,000 bottles,using the midpoint method,what is the price elasticity of demand for suntan lotion?

-Steve sells hotdogs from a vending cart downtown.The table above shows his daily total revenues at four different prices.Between which two prices is the demand for hotdogs a.elastic? b.unit elastic? c.inelastic?

-The table above gives the supply schedule for a product.Using the midpoint method,find the price elasticity of supply between points A and B,between B and C,between C and D,and between D and E.

-The table above gives the demand schedule for a good.Using the midpoint method,find the price elasticity of demand between points A and B,between B and C,between C and D,and between D and E.

If the price elasticity of supply of corn is 3.12,then is the supply of corn elastic or inelastic?

-The table above gives the demand schedule for a good.What is the total revenue at point A? At point B? At point C? At point D? At point E?

Natural gas is difficult to store.What implication does this fact have for the elasticity of supply of natural gas?

How does elasticity of supply differ for a product that can be stored,compared to a product that cannot be stored?

If the price of a magazine increases from $5 to $7 and the quantity demanded of the magazines decreases from 10 million per month to 8 million per month,using the midpoint method,what is the price elasticity of demand? Show your work.Is the demand elastic,inelastic,or unit elastic?

List factors that increase the price elasticity of supply.

Suppose bad weather decreases the quantity of wheat by 12 percent.If the price elasticity of demand for wheat is 0.6,how would the crop failure affect the price of wheat? Would the crop decrease benefit or harm wheat farmers?

Suppose the quantity supplied of computers increases from 2 million to 4 million units as the price of a computer increases from $600 to $700.What does the price elasticity of supply equal?

Suppose the price elasticity of demand for bouquets of flowers is 4.0.You are charging $8 per bouquet.If you want to increase the quantity of bouquets you sell by 20 percent,what price should you charge?

-In the figure above,at which point (a,b,or c)along the linear demand curve illustrated would demand be a.most elastic? b.most inelastic?

Is supply more elastic or less elastic as more time passes after a price change? Explain your answer.

If the price increases by 20 percent and the quantity supplied increases by 40 percent,what does the elasticity of supply equal?

Suppose the price of flour increases from $0.80 to $1.00 a pound and the quantity demanded decreases from 100 pounds to 95 pounds.Using the midpoint method,what is the price elasticity of demand for flour? Is the demand for flour elastic or inelastic?

What is the price elasticity of supply? List and briefly define three cases of the price elasticity of supply.

-The figure above shows the demand curve for pizza.Using the midpoint method and moving from point A to point B,calculate the a.percentage change in price. b.percentage change in quantity demanded. c.price elasticity of demand.