AP Micro Elasticity Quiz

If a 2% change in the price of a good leads to a 10% change in the quantity demanded of a good, what is the value of price elasticity of demand?

A perfectly elastic demand curve is

Which of the following would cause demand for a good to be relatively inelastic?

Which of the following is correct for a price increase? When demand is _____, the total revenue will _____.

If the cross-price elasticity between two goods is negative, it means that the two goods are

The income elasticity of demand for a normal good is

A perfectly elastic supply curve is

Which of the following leads to a more inelastic price elasticity of supply?

I. the use of inputs that are easily obtained

II. a high degree of substitutability between inputs

III. a shorter time period in which to supply the good

The price of a smartphone was $800 and the quantity demanded was 400. The price then fell to $600 and the quantity demand rose to 600. The price elasticity of demand for the above example is.

A cut in price from $1.50 to $1.20 sees demand for a product rise by 10%. What would the price elasticity of demand be for this product?