Microeconomics Exam 2 Second Attempt - Part 1 of 1 Question 1 of 20 The price elasticity of demand is calculated by 65.0 100.0 Points 5.0 5.0 Points A

# Microeconomics Exam 2 Second Attempt - Part 1 of 1 Question...

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Part 1 of 1 - 65.0/ 100.0 Points Question 1 of 20 5.0/ 5.0 Points The price elasticity of demand is calculated by __________ . A. the change in price divided by the change in quantity demanded B. the change in quantity demanded divided by the change in price C. the percentage change in price divided by the percentage change in quantity demanded D. the percentage change in quantity demanded divided by the percentage change in price Question 2 of 20 5.0/ 5.0 Points In considering the relationships between price and quantity demanded, ceteris paribus directs the economist to assume that __________ . A. price increases affect quantity B. quantity increases affect prices C. neither price nor quantity affect demand D. all other variables remain unchanged Question 3 of 20 5.0/ 5.0 Points Suppose that in a month the price of tulips increases from \$1 to \$1.50. At the same time, the quantity of tulips demanded decreases from 200 to 190. The price elasticity of demand for tulips (calculated using the initial value formula) is __________ .A. 0.1B. 0.5C. 10D. 20The quantity demanded of a product increases as __________ .A. consumer income rises Question 4 of 20 5.0/ 5.0 Points B. the prices of other products fall C. the price of the product rises D. the price of the product falls Question 5 of 20 0.0/ 5.0 Points When demand increases and the demand curve shifts to the right, equilibrium price __________ and equilibrium quantity __________ .  #### You've reached the end of your free preview.

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• Fall '15
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