• 2022-06-06
    For Susie, a 7 percent increase in income results in a 12 percent increase in the quantity demanded of pizza. For Susie, the income elasticity of demand for pizza is_________.
  • positive, and pizza is a normal good

    内容

    • 0

      a good (or service) whose consumption declines as income rises and increases as income decreases increase in income=decrease in consumption decrease in income=increase in consumption

    • 1

      The replacement ratio is A: the reservation wage divided by the wage rate offered on a new job B: the reduction in real GDP caused by a 1 percent reduction in unemployment benefits C: after-tax income while unemployed divided by after-tax income while employed D: the wage rate offered on a new job divided by unemployment benefits E: the increase in the unemployment rate caused by a 1 percent increase in the inflation rate

    • 2

      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

    • 3

      An increase in the demand of the imported commodity subject to a given import quota will reduces the domestic quantity demanded of the commodity.

    • 4

      Fresno Salads has current sales of $6,000 and a profit margin (net income/sales) of 6.5 percent. The firm estimates that sales will increase by 4 percent next year and that all costs will vary in direct relationship to sales. What is the pro forma net income?