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- The cross price elasticity between gasoline and driving is Group of answer choices is positive so they are complements. is negative so they are substitutes is positive so they are substitutes. is negative so they are complements none of the above.Suppose Government of Pakistan wants to put a curb on public smoking. Studies indicate that the price elasticity of demand for cigarettes is about 0.4. If a pack of cigarettes currently costs Rs.175 and the government wants to reduce smoking by 30 percent, by how much should it increase the price? Kindly type only percentage change in the box given below. Do not use percentage sign in the box. Also, do not use any plus or minus sign in the box.If a firm finds that it can sell $32,000 worth of a product when its price is $8 per unit and $35,000 worth of it when its price is $10, then Multiple Choice the demand for the product is inelastic in the $10-$8 price range. the demand for the product must have increased. elasticity of demand is 1.67. the demand for the product is elastic in the $10-$8 price range.
- If demand is inelastic Group of answer choices 1. then a 1% increase in price leads to a fall in demanded quantity of 1%. 2. then a 1% increase in price leads to a fall in quantity demanded of less than 1%. 3. then a 1% increase in price leads to a rise in demanded quantity of less than 1%. 4. then a 1% increase in price leads to a fall in quantity demanded of greater than 1%. If the demand curve for kids' magazines is ln(Q) = 10 – 2ln(p), then the price elasticity of demand is given by Group of answer choices 1. -2p/Q 2. -0.25 3. -0.2 4. -2If the cross-price elasticity of demand for Pepsi with respect to the price of Coca Cola is 0.64, then(Multiple choices) a decrease in the price of Coca Cola will cause demand for Pepsi Cola to decrease. Pepsi is a substitute for Coca Cola. an increase of 10% in the price of Coca Cola will cause demand for Pepsi Cola increase by 0.64%. Pepsi is more preferred than Coca Cola. Pepsi is a complement for Coca Cola.If the Income Elasticity of demand for a product equals (negative .50) or -0.50, then we can colclude that the product is a luxury_good. True or False True False
- Price elasticity of demand (PED) Addictive or not Time period to respondThe demand for a product is more inelastic with respect to price:Response option group a) The more difficult it is to find substitutes for the product b) The lower the income of consumers. c) The easier it is to find substitutes for the product. d) The greater the proportion the product occupies in consumer spending.Your income rises from $2,000 a year to $5,000 and your purchases of beer change from 20 to 10. What number below most closely approximates your income elasticity over this range? Multiple Choice O -0.33 -0.67 0.67 3
- If a product's price rises by 6%, and its quantity demanded falls by 8%, then its elasticity is calculated to be: Group of answer choices 2.00. 6.00. 0.75. 1.33.Is the market demand for smartphones elastic or inelastic? Please provide at least 1 academic or textbook source to support your answer.You were promoted as the manager of a new Clean-Well Sanitary Store that sells cleaning and sanitation products wholesale. You recently read in an article that there the price of vitamins is expected to increase by 20 percent. How will this affect your store’s sales of sanitation products? Items Selected Cross price elasticity Food supplements 0.34 Medicines 0.56 Foods 0.09