Refer to Table 6, above. What it the cross-price elasticity?: 1.10. 2.00. 2.30.
ID: 1250664 • Letter: R
Question
Refer to Table 6, above. What it the cross-price elasticity?: 1.10. 2.00. 2.30. 0.40. cannot be determined What is the effect on total revenue if demand is elastic and price rises?: total revenue will fall. total revenue will rise. quantity demanded will rise. supply will rise. What it the elasticity of supply of seats for a one-night concert in an auditorium?: it is elastic. it is inelastic. it is perfectly inelastic. it is perfectly elastic. What is the likely effect of the government reducing the supply of illegal drugs?: the amount spent on drugs will decrease. the amount spent on drugs will increase. the quantity of drugs consumed will remain unchanged. the demand for drugs will fall. the demand for drugs will increase. Refer to Table 7, above. What is the income elasticity of product L?: approximately 12. approximately 0.2. greater than the income elasticity of product M. approximately 0.8. 8.Explanation / Answer
26. c 27. a 28. c 29. b. 30. c.