If price elasticity of demand -15 and price decreases by, Ask an Expert

Economics

If price elasticity of demand = -1.5 and price decreases by 10 percent, then

[A] demand will increase by 15 percent.

[B] total revenue will decrease.

[C] quantity demanded will increase by 1.5 percent.

[D] total revenue will remain unchanged.

[E] quantity demanded will increase by 15 percent.

View complete question

Business Economics, Economics

Category:- Business Economics
Reference No.:- M91273727

Have any Question?Write your Review or question?

Related Questions in Business Economics

Examine the us passenger airline industry using the five

Examine the U.S. passenger airline industry using the five forces. Is this an attractive industry? Why or why not?

A monopolist faces a market demand curve given by py 100 y

A monopolist faces a market demand curve given by P(y) = 100 y. Its cost function is c(y) = y 2 + 20. (a) Find its profit - maximizing output level y and the market price p(y ). (b) Calculate its total revenue, total cos ...

Why the use of nash equilibrium is a solution concept in

Why the use of Nash equilibrium is a solution concept in games? Please give me an detailed explain.

During a certain week the mean price of gasoline was 2719 a

During a certain week the mean price of gasoline was $2.719 a gallon. A ronadom sample of 32 stations is drwn. What is the probability that the mean price was between $2.695 and $2.716. Assume o=$0.048.

At a college 66 of courses have final exams and 56nbsp of

At a college, 66 % of courses have final exams and 56 % of courses require research papers. Suppose that 45 % of courses have a research paper and a final exam. Find the probability that a course has NONE of these two r ...

The government is undertaking expansionary fiscal

The government is undertaking expansionary fiscal policy. Illustrate how this action affects: The AD-AS model. The Phillips curve model. The IS-LM model. How will this change impact on economic activity the price level t ...

Imagine a small city chambana with a labor demand function

Imagine a small city Chambana with a labor demand function E=200-1/2w and a labor supply function E=2w-100. Assume that there is a sudden influx of 40 perfect substitutes immigrants. a. How does this affect the natives i ...

The label on a can of sardines indicates the can contains

The label on a can of sardines indicates the can contains 10 sardines. You open up 100 cans and record the number of fish in each can. You find the sample average is 9.5 and sample standard deviation is 1. Calculate and ...

The following chi-square example of three age groups for

The following chi-square example of three age groups for men and women.: Age Group 0-18 19-35 Over 35 Men 18 30 12 Women 12 20 ...

A how can use the criteria for evaluating alternative

a) How can use the criteria for evaluating alternative methods of government finance to assess the most important revenue proposals of the 2018/19 budget. b) In the case tax is most important revenue proposals of the 201 ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Business Economics Expert