# 100 in the standard model we expect the partial

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100. In the standard model, we expect the partial derivative of quantity supplied with respect to input price to be: A) positive. B) negative. C) either positive or negative. D) The correct answer is uncertain without more information.
101. Suppose the demand for fabric softener can be described as Q D = 1,000 – P +0.01 I , where Q D is the quantity of fabric softener demanded, P is the price of fabric softener, and I is income. Suppose that income is initially 1,000, but it falls to 800. new equation for the demand for fabric softener is: The
102. Suppose the demand for fabric softener can be described as Q D = 800 – P P D , where Q D is the quantity of fabric softener demanded, P is the price of fabric softener, and P D is the price of laundry detergent. Suppose that the price of detergent is initially 10 but increases to 15. The new equation for the demand of fabric softener is:
103. Suppose that the inverse demand curve for energy drinks can be expressed as . The price elasticity of demand at a quantity of 25 is:
104. For an elastic demand function, the derivative of the revenue function with respect to price is: A) positive. B) negative. C) zero. D) infinite.
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105. Suppose the demand for baby shoes in a small town is described by the following equation: Q = 50 – 2 P where Q is the quantity of baby shoes demanded and P is the average price of a pair of baby shoes. a. What is the price elasticity of demand for baby shoes when the price is \$15? Use calculus to show the answer. b. What is the price elasticity of demand for baby shoes when the price is \$10? Use calculus to show the answer. 106. Suppose that the inverse demand curve for a well-known sports car can be expressed as , where price is in dollars and quantity is in numbers of cars. a. What is the price elasticity of demand at a quantity of 100? b. Is the demand for these sports cars elastic or inelastic? 107. Suppose that the inverse demand curve for a new laptop computer can be expressed as , where price is in dollars and quantity is in number of laptops. a. What is the price elasticity of demand at a quantity of 625? b. Is the demand for these laptops elastic or inelastic? 108. Suppose that the demand curve for a new product can be expressed as Q D = 900 – 3 P. At what price and quantity is total expenditure maximized? 109. Suppose that the demand curve for scissors can be expressed as Q D = 600 – 0.5 P. At what price and quantity is total expenditure maximized? Page 15