Quiz on Price Elasticity of Demand
Authored by nf6s5h4rft apple_user
World Languages
10th Grade
Used 1+ times
AI Actions
Add similar questions
Adjust reading levels
Convert to real-world scenario
Translate activity
More...
Content View
Student View
20 questions
Show all answers
1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
If the price elasticity of demand for a good is 4, then a 10 percent increase in price results in a
10 percent decrease in quantity demanded
10 percent increase in quantity demanded
40 percent decrease in quantity demanded
40 percent increase in quantity demanded
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
The difference between slope and elasticity is that slope
is a ratio of two changes, and elasticity is a ratio of two percentage changes
is an average, and elasticity is a ratio of two changes
is a ratio of two changes, and elasticity is an average
is a ratio of two percent changes, and elasticity is a ratio of two changes
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
When the price of bubble gum is $0.50, the quantity demanded is 400 packs per day. When the price falls to $0.40, the quantity demanded increases to 600. Given this information, we know that the demand for bubble gum is
elastic
Unit elastic
Inelastic
Perfectly elastic
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Last year, Shelly bought 6 pairs of designer jeans when her income was $40,000. This year, her income is $50,000, and she purchased 10 pairs of designer jeans. Holding other factors constant, it follows that Shelly
Considers designer jeans to be a normal good
Considers designer jeans to be an inferior good
Considers designer jeans to be a substitute
Considers designer jeans to be a complement
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Sandra purchases 5 pounds of coffee and 10 gallons of milk per month when the price of coffee is $10 per pound. She purchases 6 pounds of coffee and 12 gallons of milk per month when the price of coffee is $8 per pound. Sandra’s cross-price elasticity of demand for milk and coffee is
-0.5, and they are complements
1.5, and they are substitutes
-0.82, and they are complements
-1, and they are complements
6.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
A key determinant of the price elasticity of supply is
time horizon
Fraction of income spent on item
Available substitutes
Number of buyers
7.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
If the price elasticity of supply is 1.5, and a price increase led to a 1.8% increase in quantity supplied, then the price increase is about
1.7%
1.2%
0.7%
0.2%
Access all questions and much more by creating a free account
Create resources
Host any resource
Get auto-graded reports
Continue with Google
Continue with Email
Continue with Microsoft
or continue with
%20(1).png)
Apple
Others
Already have an account?
