5. At present, the price of $10, a football in the US and 5 million are sold annually. Market demand has shown that the demand curves are linear, and that price elasticity of market demand is -4.0 and the price elasticity of supply is +2.0. a) Calculate the demand and supply curves for footballs in the US. b) The US government imposes a $3 tax on every football sold in the country. How much revenue will the tax raise, and how much will the tax effect consumer surplus and producer surplus?

For each of the following pairs of goods, which good would you expect to have more elastic demand? Pairs of Goods More Elastic Demand Shoes in general or light-up shoes      Chicago Symphony recordings or orchestral music recordings in general      Subway rides during the next 6 months or subway rides during the next 5 years      Pens in general or blue ballpoint pens

At Roy's Music shack, when the price of CDs is $12,800 are demanded. When the price of CDs is $13,500 are demanded. Using the average of the two prices and quantities, the price elasticity for CDs is ________ (Round your answer to one decimal place, and express your answer in absolute value)

Grilled cheese sandwiches are $4, and the quantity demanded is 60. When the price falls to $3/sandwich, the quantity demanded rises to 80. What is the price elasticity of grilled cheese sandwiches? Widgets are $3, and the quantity demanded is 200. When the price of widgets rises to $5, the quantity demanded falls to 100. What is the price elasticity of demand for widgets? Coffee is $1 per cup, and the quantity demanded is 500. The price of coffee rises to $1.25 per cup, and the quantity demanded falls to 400. What is the price elasticity of demand for cups of coffee?

A dog rescue operation finds when it sets its adoption fee at $140 in a month, 200 dogs are adopted, but when they drop the price to $60, 300 dogs are adopted.  What does that mean about the demand elasticity in their area?   Question 4 options:   The elasticity of demand is 0.5 and its relatively elastic   The elasticity of demand is 0.5 and its relatively inelastic   none of these answers are accurate   The elasticity of demand is 2 and its relatively inelastic   The elasticity of demand is 2 and its relatively elastic

If the price elasticity of demand for a good is 8, then if the price decreased by 6 percent, what would happen to the quantity demand?            Table 1 Price Quantity $100 0 $80 10 $60 20 $40 30 $20 40 $0 50

Suppose the elasticity of demand for used cars is estimated to be 3.  What does this mean? What will be the effect on the quantity demanded for used cars if the price rises by 10 Percent? Suppose a university raises its tuition from $3,000 to $3,500.  As a result, student enrollment falls from falls from 5,000 to 4,500.  Calculate the price elasticity of demand.  Is demand elastic, unitary elastic, or inelastic? Suppose the movie theater raises the price of popcorn 10 percent, but customers do not buy any less of it.  What does this tell you about the price elasticity of demand, and what will happen to total revenue as a result of the price increase? Suppose the income elasticity of demand for furniture is 3 and the income       elasticity of demand for physician services is 0.3.  Compare the impact on furniture and physician services of a recession that reduces consumer income by 10%. Opponents of increasing the tax on gasoline argue that the big oil companies just pass the tax…

The US Dept of Agriculture estimates that the elasticity of demand for cigarettes is 0.3 for adult smokers and 2.5 for teens. Also the income elasticity of demand for cigarettes is 0.5.  A. Suppose the federal government imposes a tax on cigarettes that raises the price by 15 percent. What effect will this have on cigarette consumption by adults? B. Suppose that it was estimated this year there were 2 million teen smokers. What would be the predicted number of teen smokers under the policy in (A.).

Suppose when a hot dog cost $8 the stadium sold 4,000 per game. When hot dogs cost $3 the stadium sells 6,000 per game. Calculate the price elasticity of demand for hot dogs.

Consider the following excerpt: "Steve Cannon, CEO of the AMB Group, Blank's holding company, told ESPN that although food and beverage prices ere 50 percent lower in its new Mercedes-Benz Stadium than the prices in the Georgia Dome the previous year, fans spent 16 percent more." If there has been no change in the demand for concessions at football games, which of the following is true? Oa. Demand for concessions is always elastic b. At the initial prices, demand was inelastic. Oc. The demand curve for concessions slopes upwards Od. Concessions are an inferior good