Chapter 4-3: Elasticity of Demand
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Last updated almost 8 years ago
13 questions
1
If something is elastic then it is: (may choose more than one)
If something is elastic then it is: (may choose more than one)
1
Which of the following demonstrates the general characteristic of being "inelastic"?
Which of the following demonstrates the general characteristic of being "inelastic"?
1
Define "elasticity of demand" in your own words:
Define "elasticity of demand" in your own words:
1
If your demand for a good/service is inelastic then a large change in ____________ will lead to a ____________ change in
If your demand for a good/service is inelastic then a large change in ____________ will lead to a ____________ change in
1
For which of the following goods/services would your demand most likely be inelastic?
For which of the following goods/services would your demand most likely be inelastic?
1
If demand for a good/service is unitary elastic then any % change in price will result in a(n) _______________ % change in quantity demanded.
If demand for a good/service is unitary elastic then any % change in price will result in a(n) _______________ % change in quantity demanded.
1
If there are few or no substitutes of a good/service available then your demand is most likely to be ____________________ .
If there are few or no substitutes of a good/service available then your demand is most likely to be ____________________ .
1
Your demand for "luxury goods" (things that you can easily live without) is most likely to be _____________ .
Your demand for "luxury goods" (things that you can easily live without) is most likely to be _____________ .
1
The principle of "change over time" refers to the fact that demand for products that might be considered necessities (e.g., gasoline), although ____________ in the short term may become more ____________ in the long term as people pursue substitutes.
The principle of "change over time" refers to the fact that demand for products that might be considered necessities (e.g., gasoline), although ____________ in the short term may become more ____________ in the long term as people pursue substitutes.
1
Demand for prescription drugs, especially those considered to be life-saving, is likely to be
Demand for prescription drugs, especially those considered to be life-saving, is likely to be
1
Demand for any one particular brand of cereal (Frosted Flakes/Lucky Charms/Raisin Bran/etc.) is likely to be
Demand for any one particular brand of cereal (Frosted Flakes/Lucky Charms/Raisin Bran/etc.) is likely to be
1
If the demand for the product of a particular company is highly elastic then they will most likely experience a(n) __________________ in Total Revenue in response to an increase in price.
If the demand for the product of a particular company is highly elastic then they will most likely experience a(n) __________________ in Total Revenue in response to an increase in price.
1
The manufacturer of a prescription drug has a 10 year patent on production and sales of the life-saving medication (i.e., no competition). In response to an increase in price their Total Revenue will likely
The manufacturer of a prescription drug has a 10 year patent on production and sales of the life-saving medication (i.e., no competition). In response to an increase in price their Total Revenue will likely