If cigarettes and marijuana had been found to be substitutes, what would a tax placed on cigarettes do? decrease the demand for marijuana increase the demand for marijuana decrease the quantity demanded of marijuana increase the quantity demanded of marijuana

Cities have experienced a decline in garbage collection. Municipalities changed from a flat fee to a price per bag fee. Would you recommend a flat fee or price per bag if the change in quantity demanded was affected?

The price elasticity of demand for beer among young adults (age 18 to 24) is about 1.30, and the number of highway deaths is roughly proportional to the group’s beer consumption. If a state imposes a beer tax that increases the price of beer by 20%, by how much will the number of highway deaths among young adults decrease?

A fall in the price of radishes from $1 to $0.60 per bushel increases the quantity demanded from 19,000 to 21,000 bushels. The price elasticity of demand is   Question 7 options:   1   5   0.2   1.2   .8

AN INCREASE IN INCOME UPON THE DEMAND CURVE OF AN INFERIOR GOOD

If the percent rise in price is larger than the percent decline in quantity, then: the demand for your product could be either elastic or inelastic. the demand for your product is elastic. the demand for your product is inelastic. the demand for your product could be neither elastic nor inelastic.

An increase in quantity demanded is caused by an increase in the price of a substitute of the product. an increase in consumers' income. a decrease in the price of the product. a shift in tastes and preferences.

The elasticity of demand is used to determine if a change in price results in a shortage or a surplus. find the market equilibrium. determine if consumers will or will not buy a product. measure how responsive consumers are to a change in price. determine in what direction the demand curve shifts if income changes.

If the demand for American automobiles is more elastic in Europe than it is in the United States, we might expect

Epi-pens are a name-brand medicine. Epi-pens are used to quickly inject epinephrine into the body in the event of a severe allergic reaction. Many Americans require Epi-pens due to potentially life-threatening allergies.   Using the concept of elasticity, explain why the government would likely not impose a tax on the market for Epi-pens. Suppose the government believes the price of Epi-pens is too high, so they impose a price control on the market. Would the government use a price floor or a price ceiling in this situation? What effect would the chosen price control have on the market. Suppose that the number of adults developing severe allergies increases. At the same time the patent for Epi-pens expires, allowing new producers of Epi-pens to enter the market. Explain what will happen to the equilibrium price and quantity of Epi-pens.