Which of the following goods (with their respective income-elasticity coefficients in parentheses) will most likely suffer a decline in demand during a recession? Dinner at a nice restaurant (+1.8) Chicken purchased at the grocery store for preparation at home (+0.25) Facial tissue (+0.6) Plasma-screen and LCD TVs (+4.2)

Which of the following goods (with their respective income-elasticity coefficients in parentheses) will most likely suffer a decline in demand during a recession? Dinner at a nice restaurant (+1.8) Chicken purchased at the grocery store for preparation at home (+0.25) Facial tissue (+0.6) Plasma-screen and LCD TVs (+4.2)

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter5: Price Elasticity Of Demand And Supply

Section: Chapter Questions

Problem 11SQP

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Suppose the income elasticity of demand for furniture is 3 and the income       elasticity of demand for physician services is 0.3.  Compare the impact on furniture and physician services of a recession that reduces consumer income by 10%.
Which of the following goods (with their respective income-elasticity coefficients in parentheses) will most likely suffer a decline in demand during a recession?        Dinner at a nice restaurant (+1.8)        Chicken purchased at the grocery store for preparation at ome(+0.25)        Facial tissue (+0.6)        Plasma-screen and LCD TVs (+4.2)
Question 21.21 Which of the following goods (with their respective income-elasticity coefficients in parentheses) will most likely suffer a decline in demand during a recession?        Dinner at a nice restaurant (+1.8)        Chicken purchased at the grocery store for preparation at home (+0.25)        Facial tissue (+0.6)        Plasma-screen and LCD TVs (+4.2)
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