Suppose the price elasticity of supply for a product is zero.  This means that:   a. There is a shortage. b. The firm makes the same amount of product even if the price changes some. c. The firm makes the same amount of revenue even if the price changes some. d. No one wants to buy the good. e. The supply curve is horizontal.

Q: a. If the firm wishes to maximize its total revenue, at what price should it sell its pots? What is…

A: The total amount of money a firm earns from selling its goods and services at a certain price is…

Q: 2. (a) Suppose that business travelers and vacationers have the following demand for airline…

A: The price elasticity of demand measures the proportionate change in the quantity demanded of a good…

Q: 5. If elasticity of demand is very low it shows that the commodity is

A: Elasticity of demand measures how much responsive the quantity demanded is towards any changes in…

Q: The long run elasticity of oil demand has been estimated at -0.5. If the price of oil rises by 10%,…

A: Elasticity measures the responsiveness of quantity demanded with respect to change in price.

Q: f the supply schedule for tin is relatively inelastic to price changes , a decrease in the demand…

A: Demand schedule: - demand schedule is the tabular representation of the quantity demanded of a good…

Q: 4) The demand curve for a good is given by P-1000-25QD. The supply curve is given by P=500+25QS. At…

A: Demand:  P=1000-25Qd Supply: P=500+25Qs   Market equilibrium will occur when demand is equal to the…

Q: Suppose the market demand curve for a product is given by Qd = 500 −50P and the market supply curve…

A: Qd = 500-50PQs = -50 + 25P At market equilibrium: Qd = Qs 500 - 50P = -50 + 25P550 = 75PP= 7.333 Q =…

Q: 3. When price increases by 10 per cent supply increases by 20 per cent. Which of the following is…

A: Elasticity is the measure of percentage change in one variable with respect to percentage change in…

Q: 6. The supply function of certain good is given by: P = - 0.02Q2 + 5Q - 5. a) Find the price…

A: Es(elasticity of supply) is the ratio of % change in Qs(quantity supplied) and % change in P(price)…

Q: Jane sells scones at the school tuck shop. She knows that if she raises the price of scones, she…

A: Meaning of Microeconomics: The term microeconomics refers to that situation under which the…

Q: suppose the price elasticity of demand  for heating oil is 0.2 in short run and 0.7 in long run a.…

A: The price elasticity of demand shows the responsiveness of quantity demanded due to the change in…

Q: The demand for oranges is Qd = 6 - 2*P At what price is demand unitary and elastic? a) $3 b) $2,5 c)…

A: Elasticity of demand = -dqdp×pq

Q: State whether the Statement is TRUE or FALSE. Also write the reason (Without reason your answer will…

A: 1. If value of cross price elasticity is positive, then it means there are less close substitutes…

Q: 6) If a 10 percent increase in the quantity of spinach demanded results from a 20 percent decline in…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: 41.) The price p (in dollars per pound) and demand x (in pounds) for almonds are elated by  x=…

A: The equation which shows the relationship between the supply and price of the commodity is known as…

Q: 1. Mark's demand for chicken is given as follows: Price of Chicken Quantity demanded per week…

A: Elasticity of demand measures the responsiveness of quantity demanded to changes in price level.

Q: a) Suppose the price of flour increases from $0.60 to $1.10 a pound and the quantity demanded…

A: Price elasticity of demand refers to the responsiveness of the quantity change in demand due to…

Q: government is considering placing a tax on alcohol consumption (demand-side) with the goal of…

A: Price elasticity of demand(Ed) is the ratio of the %change in Qd) quantity demanded) and% change in…

Q: a)When John can sell totem poles for 1,800 each, he markets 60 annually. when the price falls to…

A: Elasticity of supply depicts how much producer responses with the change in price.

Q: Degree Type a) perfectly elastic b) elastic Cunit elastic 9) price elasticity of demand price…

A: Disclaimer :-  Since you have posted a question with multiple sub-parts, we will solve first three…

Q: Decide whether each of the following statement is TRUE or FALSE, and explain the reason for your…

A: In economics, price elasticity of demand describes how much change in quantity demanded of a product…

Q: F). Draw a perfectly inelastic supply, an inelastic supply, a unit elastic supply, an elastic…

A: The supply curve shows the association between the price of commodity and quantity of the commodity…

Q: 2. (a) Suppose that business travelers and vacationers have the following demand for airline…

A: Price elasticity of demand (PED) is the responsiveness of a percentage change in quantity demanded…

Q: Why do suppliers want to create more inelastic demand relationships in the products that they sell?

A: Elasticity is the change in quantity demanded due to a change in price.  E = 1 Unitary Elasticity…

Q: D). Suppose that you are a buyer, based on your preferences and other things being equal, would you…

A: When talking about elasticity of demand, elasic demand is when a percentage change in price will…

Q: 1. Mark's demand for chicken is given as follows: Price of Chicken Quantity demanded per week…

A: Demand elasticity is the percentage change in quantity demanded due to change in price. Income…

Q: Price Quantity Demanded Quantity Supplied $110 815 525 $125 620 $140 505 620 795 The above supply…

A: Price Q Demand Q Supply 110 815 525 125 620 620 140 505 795

Q: 7) A good with a horizontal demand curve has an elasticity of                infinity…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Problem 4: Suppose that when the price of dishwashing liquid decreases from Php 230 to Php 185,…

A: *SOLUTION :-  *(4)

Q: Suppose the price of flour increases from $0.60 to $1.10 a pound and the quantity demanded decreases…

A: Midpoint Formula Ed = [(Q2 - Q1) / (Q2 + Q1) / 2] / [(P2 - P1) / (P2 + P1) / 2] Income Elasticity of…

Q: How much would the firm’s revenue change if it lowered price from $12 to $10? Is demand elastic or…

A: Demand curve shows an inverse relationship between price and quantity demanded. Elasticity measures…

Q: 1. The price per unit of X is 5, and the price per unit of Y is 10. The consumer currently has 435…

A: 1. When price of X = 5, quantity = 36.2 When price of X = 20, quantity = 12  Price elasticity of…

Q: 1. Suppose you are given the following information about the demand for vinyl records: P = 60 –…

A: Answer: Given, Demand function: P=60-1.5QD (a). Let us first find the quantity demanded at $15 and…

Q: 1) When income increases from $80000 to $81000, the quantity demand of good A increases from 3000 to…

A: "Since you have asked multiple questions, we will solve first question for you.. If you want any…

Q: 2)The major determinants of a good's price elasticity of demand include a)the slope of the demand…

A: "Elasticity is a measure of responsiveness of one variable with respect to another. It is measured…

Q: Q4) Assume a market of a specific good. The demand and supply equation is as shown below: Po = 70 –…

A: Price above the equilibrium results in surplus as quantity supplied exceeds quantity demanded and…