Micro Economics Final Practice, Chapter 6 (Elasticity)

The concept of elasticity of demand measures

If the demand for bacon is relatively elastic, a 10 percent decline in the price of bacon will:

The price of Product X is reduced from $100 to $90, and, as a result, the quantity demanded increases from 50 to 60 units. Therefore demand for X in this Price Range:

Gigantic State University raises tuition fees for the purpose of increasing its revenue. GSU is assuming that the demand for education at GSU is:

If the University Chamber Music Society decides to reduce ticket prices to provide more funds to finance concerts, the Society is assuming that the demand for tickets is:

The demand schedules for farm products like eggs, bread, and butter tend to be:

Suppose the price of local cable TV service increased from $16.20 to $19.80 and as a result the number of cable subscribers decreased from 224,000 to 176,000. Along this portion of the demand curve, the (absolute) own price elasticity of demand is:

Assume that a 4 percent increase in income leads to an 8 percent increase in the quantity demanded of good X. The coefficient of income elasticity of demand is:

We would expect the cross elasticity of demand between Pepsi and Coke to be: