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If the supply equation is given as Q=-200+10P, the price elasticity of supply between R40 and R50, calculated using the arc elasticity of demand, is?
Arc elasticity of demand is ((Q2 – Q1)/midpoint Q)/((P2 – P1)/midpoint P) Q1=-200+10P = 40, P=24 Q2=-200+10P = 50, P=25 Arc elasticity of demand = ((50-40)/45)/((25-24)/24,5)=5.44
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If the supply equation is given as Qs = -200+10P, the price elasticity of supply between R40 and R50, calculated using the arc elasticity of demand is
If Qs = -200 + 10P, P1 = R40, P2 = R50, Q1 = -200 + 10*40 = 200, Q2 = -200 + 10*50 = 300, then the price elasticity...
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A decrease in price from R50 to R40 causes the quantity demanded to increase from 250p to 3000 units. Using the arc elasticity of demand, the price elasticity of demand is...
If a decrease in price from R50 to R40 causes the quantity demanded to increase from 2500 to 3000 units, then using the arc elasticity of demand, the price elasticity...
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A decrease in the price of a product from R50,00 to R40,00 causes the quantity demanded to
increase from 2 500 to 3 000 units. Using the arc elasticity of demand, the price elasticity of
E_d^p=((Q2-Q1)/((Q2+Q1)/2))/((P2-P1)/((P2+P1)/2))=((3000-2500)/((3000+2500)/2))/((40-50)/((40+50)/2))=0.18/(-0.22)=-0.82
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Price elasticity of demand for a commodity is unity and a household demands 50 units of it when its price is rupees 2 per unit. At what price will the household demands 45 units of the commodity?
P0 =2 P1 = xQ0 = 50 Q1 = 45td = (((45-50)*100)/50) / (((x-2)*100)/2) = = ((-5*100)/50) / ((x-2)*50) = 1= (-10) / ((x-2)*50) = 1= 1/(5x-10) = 11 =...
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List five determinants of price elasticity of demand. How each determinant causes price elasticity of demand, explain through examples?
substitues for the product: better substitutes, the more elastic-proportion of expenditures on specified good relative to income: the larger the expenditure on the specific good relative to ones budget, the...
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Suppose the equation of the line changes to P= -5×Q+70. Compute the quantity demanded at each indicated price.
Price: 50, Quantity:
Price: 40, Quantity:
Price: 30, Quantity:
Price: 50, Quantity:50 = -5Q + 705Q = 70 -505Q = 20Q = 4Price: 40, Quantity:40 = -5Q + 705Q = 30Q = 6Price: 30, Quantity:30 = -5Q + 705Q...
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suppose the price of Good is 1 rupee and price elasticity of demand is 0.2, how much will 10% reduction in quantity demanded increase the price? what will be the new price?
Price Elasticity of Demand (Ed) = Percentage Change in Quantity Demanded / Percentage Change in Price(-)0.2 = -10 / Percentage Change in PricePercentage Change in Price = -10 / -0.2...
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An increase in the price of electricity will: a. increase the demand for kerosene heaters. b. increase the demand for light bulbs. c. increase the demand for stereos. d. increase the demand for TVs.
Demand is defined as an economic term that refers to a customer's ability to purchase goods and services and the ability to pay a premium for a given commodity or service....
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Demand Review: (pick one) 29) A decrease in price of IFuzzy iWuzzys will result in a (decrease/increase) in (D/QD). 30) A decrease in income will cause an (increase/decrease) in (D/QD) for spam.
29) A decrease in price of IFuzzy iWuzzys will result in an increase in QD.30) A decrease in income will cause an decrease in D for spam.
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