Measuring the price of gasoline in dollars, an economist calculates the price elasticity of demand to be .5. What would the price elasticity of demand be if the economist had chosen to measure the price of gasoline in pennies rather than dollars?
A) .5
B) .05
C) .005
D) 50
Correct Answer:
Verified
Q19: Supply is said to be inelastic when
Q20: If quantity demanded falls by 25 percent
Q21: If the price elasticity of supply is
Q22: If the price of a good goes
Q23: As the price of tomatoes fell from
Q25: If a $100 drop in the price
Q26: As the manager of a ski resort,
Q27: If the quantity of picture frames supplied
Q28: A marketing student observes that when the
Q29: It has been estimated that the price
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents