First Choice Cracker company needs to increase the price of crackers by 5%, based on a substantial increase in input costs such as flour. The price elasticity of demand for crackers is 0.4. The company can expect the consumption of cereal to:
A: decrease by 1.5%.
B: increase by 1.5%.
C: decrease by 2.0%.
D: increase by 2.0%.
A: decrease by 1.5%.
B: increase by 1.5%.
C: decrease by 2.0%.
D: increase by 2.0%.
举一反三
- Which of the following can be predicted to increase the demand for labor? a. An increase in the price of a gross complement to labor b. A decrease in the price of a gross substitute for labor c. A decrease in the number of firms d. An increase in product demand A: An increase in the price of a gross complement to labor B: A decrease in the price of a gross substitute for labor C: A decrease in the number of firms D: An increase in product demand
- If a 15% increase in price for a good results in a 20% decrease in quantity demanded, the price elasticity of demand is
- If the demand for orange juice is elastic, then as the price falls, quantity demanded for orange juice will ________ and total revenue for orange suppliers will ________. A: increase; increase B: decrease; increase C: decrease; decrease D: increase; decrease
- Which of the following always raises the equilibrium price? A: an increase in both demand and supply B: a decrease in both demand and supply C: an increase in demand combined with a decrease in supply D: a decrease in demand combined with an increase in supply
- An increase in market supply and an increase in market demand will result in A: A decrease in equilibrium price and an increase in equilibrium quantity B: A decrease in equilibrium price - the change in equilibrium quantity is indeterminate C: An increase in equilibrium quantity and the change in price is unclear D: all of above