A inelastic 4 q d 5 p e d 1 c price falls by 6 and

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A: Inelastic 4∆Qd5∆PEd<1(c) Price falls by 6%, and quantity demanded does not change.A: Perfectly Inelastic 0∆Qd6∆ PEd=0(d) Price rises 2%, and quantity demanded falls by 1%.
5. Q: For each of the following, identify whether total revenue rises, falls, or remains constant:(a) Demand is inelastic and price fallsP↓TR↓
(b) Demand is elastic and price rises.
(c) Demand is unit elastic and price rises.A: Total Revenue remains constant, Ed=1P↑´TR(d) Demand is inelastic and price risesA: Total Revenue rises, Ed<1P↑TR↑(e) Demand is elastic and price falls.A: Total Revenue rises, Ed>1P↓TR↑
Page 6of 7Jason RainesMicroeconomics (2600) 9:30 amAssignment 29. Q: How might you determine whether toothpaste manufacturers and mouthwash manufacturers are competitors?
14. Q: A tax is placed on the sellers of a good. What happens to the percentage of this tax that buyers pay as the price elasticity of demand for the good decreases? Explain your answer.
Working with Numbers and Graphs

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