For a particular good, a 10 percent increase in price causes a 13 percent decrease in quantity demanded. Which of the following statements is most likely applicable to this good? The market for the good is broadly defined The good is a luxury. The relevant time horizon is short. There are not many substitutes for this good.

Q: A perfectly inelastic demand curve or supply curve means... Group of answer choices There is an…

A: Price elasticity refers to percentage change in quantity demanded or supplied with respect to…

Q: Income elasticity of demand for bread is -1.1. We can say that bread is  _____. Group of answer…

A: Income elasticity of demand of bread is -1.1. This implies that the responsiveness of the change in…

Q: All of the following are held constant in constructing a demand curve except      income…

A: The demand curve shows the relationship between the price of the good and the quantity demanded by…

Q: Choose the best option that defines the Perfectly Price Elasticity. a) Quantity demanded changes…

A: Price elasticity of demand is the measure of change in the quantity demanded due to the change in…

Q: For a particular good, a 10 percent increase in price causes a 3 percent decrease in quantity…

A: ‘Demand is price inelastic when, a sudden difference in price causes a smaller percentage change in…

Q: Which of the following are true regarding inferior goods? Choose all that are correct. Group of…

A: Inferior goods are those goods which demand is inversely related to the income change.

Q: If orange juice is considered a normal good, then an increase in income in Ventura will have the…

A: Demand curve shows an inverse relationship between price and quantity demanded. It slopes does…

Q: The quantity demanded of walnuts is greater than the quantity supplied.

A: Answer for 34th Question The correct option is (d) The quantity demand of  walnuts is greater than…

Q: An inferior good is a product:       for which demand decreases as income increases.…

A: Inferior commodities are those whose demand falls as the income of the people rises.

Q: If a decrease in the price of product X causes the demand for product Z to decrease, then product Z…

A: A normal good follows law of demand which states that there exist inverse relationship between price…

Q: An increase in demand for a good may be caused by a decrease in the price of *         the good.…

A: The demand curve shows the association between the amounts of commodity demanded by the consumer at…

Q: If an increase in income results in a decrease in the quantity demanded of a good, then the good is…

A: Consumer income is a factor which affects the demand for a good since it dictates how much of a good…

Q: A demand gap occurs when    A. quantity demanded is greater than quantity supplied.   B. when…

A: Meaning of Demand and Supply: The term demand refers to the willingness of an individual to…

Q: The amount of a good or service that buyers are willing and able to buy at a given price is called:…

A: Demand: It is the desire or ability to purchase a good or service.

Q: A good that has a lot of substitutes, that is a necessity and is relatively inexpensive will most…

A: A necessary good is a good for which a change in price will not significantly affect its quantity…

Q: If beer and marijuana had been found to be substitutes, what would a tax placed on beer do?…

A: Two goods are substitutes when the consumption of one can be substituted by another. When a tax is…

Q: demand gap occurs when *       quantity demanded is greater than quantity supplied.       when…

A: Demand is economics is the quantity that the customers are willing to purchase in the market. In…

Q: A good is said to elastic when Select one: a. The quantity demanded is less responsive to a 1-unit…

A: The price elasticity of demand refers to the responsiveness of the quantity demanded of a good to a…

Q: If demand for a good is highly elastic, that good is likely to have: a. many close complements. b.…

A: A good tends to have a highly elastic demand if it has many close substitutes.

Q: If supply increases, this means suppliers are willing and able to offer less of the good for sale at…

A: There is positive relationship between supply and price of the product. As the price increases the…

Q: The quantity demanded of a product increases as its price declines because the .......…

A: Quantity demanded may be a term employed in economics to explain the full amount of a decent or…

Q: the price of good X increases from RM3 to RM5, the quantity demanded drops from 10 to 8. if the…

A: Answer to the question is as follows :

Q: An increase in the price of a complement good brings about a(an)        increase in quantity…

A: Complementary Goods Complementary goods are those goods and services which are used together by the…

Q: If demand is perfectly inelastic... Group of answer choices The good has many perfect substitutes…

A: The demand is said to be perfectly inelastic when changes in price do not change the quantity…

Q: Good A and B are substitutes. Good A and B are complements. Good A and B are substitutes because the…

A: The demand curve for a good is the graphical representation of the relationship between the price of…

Q: The price at which quantity demanded and quantity supplied of a good is equal is known as maximum…

A: In a free market the forces of demand and supply are set free to decide the market equilibrium and…

Q: A given change in supply will yield a larger change in the quantity demanded the _____   a. more…

A: Answer: Introduction: If there are many substitutes for a good then the demand for that good will be…

Q: If the price of a good increases and is above the equilibrium price, then: a) suppliers’ inventories…

A: Given:  Price of a good increases above the equilibrium price.

Q: Demand for the desired quantity of a good that is backed by the ability to buy that good is known…

A: The economic law of demand portrays the negative relationship between the desired units demanded of…

Q: A normal good is defined as a good for which the demand curve A. shifts leftward as income…

A: Normal goods are one of the types of classification of goods. Other types of classification are…

Q: Question 8 If a rise in the price of good X results in the amount of money spent on good Y…

A: At the marketplace, two goods are related to each other when a change in the price of one good…

Q: With respect to each of the following changes, identify whether the demand curve will shift…

A: The demand curve of a good shows quantity demanded of a good at different price levels and it is a…

Q: Demand for a good will always rise when the price of a complementary good falls.the price of a…

A: Complementary goods are those goods that are consumed jointly or in conjunction. This means…

Q: Good X and good Y are substitutes. If the price of good Y increases, then the a. Demand for good X…

A: The quantity demanded of a good refers to the amount of the good the consumers are willing and able…

Q: What is the type of good if demand increased from 25 to 37 as income increased from 1,500 to 2,000…

A: A good is considered to be normal if the income elasticity is greater than 0. For normal goods,…

Q: When demand increases, there is a _____ at the old equilibrium price, which puts _____ pressure on…

A: The curve that depicts various quantities of goods being demanded by consumers at various levels of…

Q: Two goods are substitutes if a decrease in the price of one good. This will lead to: Select one: a.…

A: Substitute goods are those goods that fully fill the need for other goods, the change in the price…

Q: An increase in consumer income will cause a decrease in the demand for an inferior good.  A.True…

A: The demand refers to the quantity of goods that a consumer is able and willing to purchase at a…

Q: An increase in quantity demanded caused by change in the price ......................... a)…

A: Demand is the willingness and ability of consumers for consuming and buying goods and services at…

Q: Indicate how you think each of the following would shift demand in the indicated market: a. The…

A: Demand refers the total amount of goods and services that are willing and able to buy at the…

Q: The supply curve will be more price elastic if the good has few substitutes the time the producer…

A: The elasticity of supply of a good depends upon the price of that good. If the price of a good…

Q: Cross elasticity of demand, which measures the relationship between substitutes and complements, is…

A: Cross price elasticity of demand states the measure of relationship between the two goods. If the…

Q: If the price of a product is below the equilibrium price, the result will be A. A shortage of the…

A: Equilibrium is a state in which economic forces like supply and demand are balanced and the…

Q: If two goods are substitutes, a decline in the price of one will cause an increase in the demand for…

A: There are different types of goods based on their use, consumer preference & taste, and…