Suppose that the long-run price elasticity of demand for product A is 0.5_ In the short run, which one of the following is most likely to represent the price elasticity of demand for product A? A. Perfectly elastic B. Perfectly inelastic C. Less than 0.5 D. More than 0,5

If a Pizza Hut restaurant near campus reduces its pizza prices by 15 percent, and as a result, its total revenue from pizza sales increases, this indicates that the price elasticity of demand was elastic. 0000 of unitary elasticity. inelastic. equal to 0.15.

The short run elasticity of demand between palm oil and soybean oil is 0.103. The quantity demanded for palm oil is 10 million metric tonnes at the current price USD 1480 per metric ton of soybean oil. Calculate the quantity demanded of palm oil if the price per metric ton of soybean oil decreases to USD 1400.

. Determinants of the price elasticity of demand Consider some determinants of the price elasticity of demand: • The availability of close substitutes • Whether the good is a necessity or a luxury • How broadly you define the market • The time horizon being considered   A good without any close substitutes is likely to have relatively...........................( elastic/inelastic)    demand, since consumers cannot easily switch to a substitute good if the price of the good rises.   A good’s price elasticity of demand depends in part on how necessary it is relative to other goods. If the following goods are priced approximately the same, which one has the least elastic demand?(multiple choice)   a) Sports car   b) A heart valve for heart attack victims     The price elasticity of demand for a good also depends on how you define the good. Organize the goods found in the following table by indicating which is likely to have the most elastic…