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The thought of area elasticity is used to have computing rate suppleness where in fact the change in pricing is ________

The thought of area elasticity is used to have computing rate suppleness where in fact the change in pricing is ________

93. In the example of a straight line demand bend fulfilling this new several axes, the purchase price-flexibility from request within mid-part of one’s line might possibly be: (a) 0 (b) 1 (c) step one.5 (d) dos Respond to: (b) step one

(a) Elasticity at point A = ?, at B = > 1, at C = 1, at D = < 1 and E = 0 (b) Elasticity at A = 0, at B = < 1, at C = 1, at D = > 1 and E = ? (c) Elasticity at A = 0, at B > 1, at C = 1, at D = < 1 and at E = 0 (d) None of these Answer: (a) Elasticity at point A = ?, at B = > 1, at C = 1, at D = < 1 and E = 0

96. The price elasticity of demand at the midpoint of the straight line demand curve under point method is ________. (a) 0 (b) 1 (c) > 1 (d) < 1 Answer: (b) 1

97. Point elasticity will work for and that of the pursuing the circumstances? (a) The newest bookstore is provided doubling the cost of laptop computers. (b) A cafe or restaurant is actually given decreasing the price of the priciest food by 50 per cent. (c) An automible manufacturer has an interest from inside the choosing the newest response regarding consumers into the cost of vehicles getting paid off by the ? one hundred. (d) None of your over. Answer: (c) A motor vehicle manufacturer is interested inside the determining new reaction out of users into the cost of automobiles being paid off because of the ?