If the price elasticity of demand for a good is 1; then doubling the price of that good will leave total expenditures on that good unchanged
举一反三
- If a 15% increase in price for a good results in a 20% decrease in quantity demanded, the price elasticity of demand is
- Good A and good B are substitutes in production. The demand for good A decreases, which lowers the price of good A. The decrease in the price of good A ( ) A: decreases the supply of good B: increases the supply of good C: decreases the demand for good D: increases the demand for good
- If there are very few, if any, good substitutes for good A, then (). A: supply of good A would tend to be price elastic. B: demand for good A would tend to be price inelastic. C: demand for good A would tend to be price elastic. D: demand for good A would tend to be income elastic.
- Demand conditions are affected by （ ）。 A: Market growth B: Type of good C: Substitutes D: Price elasticity
- When the price of a good is held above the equilibrium price, the result will be A: Excess demand B: A shortage of the good C: A surplus of the good D: A shortage of the good