Elasticity

Suppose the price of a bus ticket rises from $2.75 to $3 and the number of tickets sold falls from 10 000 to 8500. The price elasticity of demand is:

• elastic

• unitary elastic

• perfectly elastic

• inelastic

• perfectly inelastic

Which of the following is represented by X?

• Percentage Change in Quantity Supplied

• Percentage Change in Quantity Demanded

• Percentage Change in Supply

• Percentage Change in Demand

Unitary Elastic Demand

• demand reacts a lot to price changes

• change in price leads to an equal change in demand

• demand doesn't react to price changes

After more employers allow employees to telecommute, will the demand curve for cars be more elastic or more inelastic?

• More elastic

• More inelastic

Which of the following two goods is more likely to be inelastically demanded?

• Demand for insulin

• Demand for vitamins

During the COVID 19 Pandemic we are all experiencing now, and the information campaign from the Center for Disease Control highlighting that bacteria and other organisms cause and spread disease, will the demand curve for soap be more elastic or more inelastic?

• More elastic

• More inelastic

when consumers have a need for a product that is urgent 

• the demand curve is inelastic 

• the demand curve is elastic 

• the demand curve is complementary 

• the demand curve is unit demand 

What is price elasticity of demand?

• A measure of how much the quantity demanded of a good responds to a change in the price of that good

• A measure of how much the quantity supplied of a good responds to a change in the price of that good

• A measure of how much the quantity demanded of a good responds to a change in consumer income

• A measure of how much the quantity supplied of a good responds to a change in consumer income

Which of the following is an example of a good with elastic demand?

• Luxury cars

• Salt

• Insulin

• Water

If a product has many substitutes, its demand is likely to be:

• Elastic

• Inelastic

• Unitary elastic

• Perfectly inelastic