Question

With elastic demand a change in price causes a(n) _____________ change in total revenue. a. opposite...

With elastic demand a change in price causes a(n) _____________ change in total revenue.

a. opposite

b. identical

c. unparallel

d. parallel

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

A demand is generally of three types that are elastic demand elastic demand and unit elastic demand

An elastic demand is that type of demand in which even there is a small change in the price can causes heavy change in the quantity demanded

Opposite to it is inelastic demand

so when the demand is elastic in nature then price and revenue moves in opposite direction

in case of inelastic demand , the price and total revenue moves in the same direction

Hence the correct answer here is option A

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
If the price change causes total receipts to move in the opposite direction from the price...
If the price change causes total receipts to move in the opposite direction from the price change, demand must be _______. Group of answer choices A unit elastic B inelastic C elastic
How is total revenue increased when demand is elastic? If an increase in price causes an...
How is total revenue increased when demand is elastic? If an increase in price causes an increase in total revenue, demand is said to be inelastic and if an increase in price causes a decrease in total revenue, then demand is said to be elastic… There’s no way for total revenue to increase when demand is elastic, right?
For inelastic demand curves, total revenue move is the __________ direction as the price; for elastic...
For inelastic demand curves, total revenue move is the __________ direction as the price; for elastic demand curves, total revenue moves in the __________ direction as the price. A. Opposite; same. B. Same; opposite. C. Same; same. D. Opposite; opposite.
The demand for a good is elastic if _____ Select one: a. an increase in price...
The demand for a good is elastic if _____ Select one: a. an increase in price leads to an increase in total revenue. b. a decrease in price causes no changes in total revenue. c. an increase in price leads to a decrease in total revenue. d. a decrease in price leads to a decrease in total revenue. e. an increase in price causes no change in total revenue.
When the demand for a product is price elastic, a rise in its price causes total...
When the demand for a product is price elastic, a rise in its price causes total revenue to: Select one: a. fall because quantity sold remains the same and thus total revenue falls. b. fall because the higher price per product is not enough to offset the decrease in revenue from the fall in quantity sold. c. rise because the higher price per product will more than offset the fall in revenue due to the decrease in quantity sold. d....
Which of the following statement(s) is (are) TRUE about the “Total Revenue Test”: A. If price...
Which of the following statement(s) is (are) TRUE about the “Total Revenue Test”: A. If price and total revenue change in the opposite directions, demand is inelastic. B. If a price change leaves total revenue unchanged, demand is elastic. C. If price and total revenue change in the same direction, demand is inelastic. D. All the above statements are true.
CLASS: Elastic or Inelastic? A price change causes the quantity demanded of a good to drop...
CLASS: Elastic or Inelastic? A price change causes the quantity demanded of a good to drop by 20 percent, yet total revenue still increases by 10 percent. Is demand elastic or inelastic? How can you tell?
Which of the following are characteristics of resources with elastic demand? Revenue moves in the opposite...
Which of the following are characteristics of resources with elastic demand? Revenue moves in the opposite direction from price Revenue increases as the quantity supplied increases Their contribution to GDP increases as the quantity supplied increases Substitutes are readily available Price moves in the same direction as quantity Price and quantity are unrelated Small % changes in price lead to larger % changes quantity Prices tend to be stable Demand tends to be stable Demand is highly responsive to price
1. What is the numerical value for the price elasticity of demand if a price change...
1. What is the numerical value for the price elasticity of demand if a price change causes no change in quantity demanded?________ What is the numerical value for elasticity of demand if a price change causes no change in total revenue?________ What is the elasticity of demand for a horizontal demand curve?________ What is the elasticity of demand if a price increase leads to an increase in total revenue? elastic / inelastic. What is the numerical value for the elasticity...
Fill in the blanks: When demand is inelastic, a decrease in price causes quantity demanded to...
Fill in the blanks: When demand is inelastic, a decrease in price causes quantity demanded to ________and total revenue to ________. If price rises and total revenue rises, demand must be ________. When demand is elastic, an increase in price causes quantity demanded to ________and total revenue to ________. If price rises and total revenue stays the same, demand must be ________ elastic.
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT