Ag Econ Fall 2023

Calculate the income elasticity when income moves from $15,000 to $25,000 and the demand for salmon increases from 10 to 14

Assume a retailer sells 200 units of Yoplait yogurt per day at a price of $0.40/unit. The cross-price elasticity between Yoplait and Dannon is 0.6. If the retailer raises the price of Dannon from $0.30 to $0.45, how many units of Yoplait would they now sell?

Use the chart to answer the question below: When 17 hours of labor are used, corn production is equal to:

What is the APP when the labor input is 17 hours?

To what stage of production can we say this situation corresponds?

• Stage 1

• Stage 2

• Stage 3

• Stage 4

Assume that the price of corn is $8/bushel. What is the change in total revenue received by this producer when using one more hour of labor?

Which of the following statement(s) is/are TRUE?

• If the cross-price elasticity of demand between 2 goods is negative, then the 2 goods are complements

• If the income elasticity of demand for a product is greater than 1, then the good is a necessity

• If the income elasticity of demand for a product is negative, then the good is an inferior good

• Both a and c

Which market structure best characterizes the following: there exists product differentiation, there are many sellers, and there are no barriers to entry

• oligopoly

• monopolistic competition

• perfect competition

• monopoly

Which of the following combinations of goods is in line with a cross-price elasticity equal to -0.3?

• Kentucky Fried Chicken and Scope mouthwash

• Pancakes and maple syrup

• Pepsi and Dr. Pepper

• None of these

What is the value of W?