Question: A.Swiss watch company advertises its history of superior craftsmanship. The company thinks that this will: a. Make the demand for the product more elastic b. Make the customers more sensitive to the price c. Not impact the demand for their product d. None of the above. B. If a supplier maintains their supply of onions to shops, but the price of onions reduces from 50p to 40p, what is the PES? C. When the elasticity of demand and elasticity of supply are equal, the burden of tax (A) Lies more on the buyer (B) Lies more on the seller (C) Lies equally on the buyer and seller (D) All of the above are false
Question: A.Swiss watch company advertises its history of superior craftsmanship. The company thinks that this will: a. Make the demand for the product more elastic b. Make the customers more sensitive to the price c. Not impact the demand for their product d. None of the above. B. If a supplier maintains their supply of onions to shops, but the price of onions reduces from 50p to 40p, what is the PES? C. When the elasticity of demand and elasticity of supply are equal, the burden of tax (A) Lies more on the buyer (B) Lies more on the seller (C) Lies equally on the buyer and seller (D) All of the above are false
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:Question:
A.Swiss watch company advertises its history of superior craftsmanship. The company thinks that this will:
a. Make the demand for the product more elastic
b. Make the customers more sensitive to the price
c. Not impact the demand for their product
d. None of the above.
B. If a supplier maintains their supply of onions to shops, but the price of onions reduces from 50p to 40p, what is the PES?
C. When the elasticity of demand and elasticity of supply are equal, the burden of tax
(A) Lies more on the buyer
(B) Lies more on the seller
(C) Lies equally on the buyer and seller
(D) All of the above are false
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