Constant price elasticities in perfectly inelastic demand

Perfectly inelastic demand curves include constant price elasticities equivalent to zero as well as: (i) cannot exist within the real world across the full range of possible prices. (ii) happen more often than any other type. (iii) are horizontal lines within price/quantity space. (iv) imply such that the good has several close substitutes. (v) face classical firms within a competitive industry.

Please choose the right answer from above...I want your suggestion for the same.

View Complete Question

Related Questions in Microeconomics

Q : Present Value of Annual Interest Rate

When the annual interest rate is 11 percent and a small office building can be expected to lease perpetually for price of $33,000 annually, the building and also the land it sits onto have a present value of approximately: (1) $363,00

Q : Definitions of Poverty by Researchers

Some researchers have attempted to define poverty: (1) as the lowest 20% of the income distribution. (2) through estimates of the fundamental needs for families having various characteristics. (3) by estimating the costs of the minimum caloric intake

Q : Profit from predatory pricing In order

In order for a firm to profit from predatory pricing: (w) the incumbent must fulfill the entire industry demand at a price below costs. (x) the cost of predation should be less than the profits incurred through driving out one’s rivals from the

Q : Problem relating to Changes in Demand

Airlines considerably decreased the number of flights accessible in the year 2005, as compared to flight availability during the year 2000. Passenger mileage was fall. Economists would be least possible to ascribe the decline in airline ticket sales throughout the ear

Q : Determine least price elastic points

The section of this supply curve for 2×4s which is least price elastic is in between: (i) point a and point b. (ii) point b and point c. (iii) point c and point d. (iv) point d and point e. (v) point e and point f.

Q : Marginal revenue of price taker firm A

A price-taker firm’s marginal revenue is: (w) constant and identical to price. (x) less than average revenue. (y) sufficient to cover all short-run costs. (z) determined by the firm’s supply curve.

Q : Perfect competition and monopoly I have

I have difficulty in this question. Provide me correct solution of this economy question. Compare & contrast the supposition of monopolistic competition along with perfect competition & monopoly.

Q : Relative Prices-Rational consumer I

I have a problem in economics on Relative Prices-Rational consumer. Please help me in the following question. The rational consumer buying decisions based on: (1) Present prices. (2) Absolute prices. (3) Nominal prices. (4) Relative prices.

Q : Monopolistic competitive firm in normal

This monopolistically competitive firm in illustrated figure produces Q units as well as experiences: (1) economic profits equal to 0cbQ. (2) economic losses equal to cpab. (3) more than normal accounting profits. (4) marginal cost in excess of averag

Q : Infinite price elasticity of supply The

The price elasticity of supply in given grph is infinite therefore supply is perfectly price elastic within: (w) Panel A. (x) Panel B. (y) Panel C. (z) Panel D.

Discover Q & A

Leading Solution Library

Avail More Than 1440881 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads

No hassle, Instant Access

Start Discovering

18,76,764

1926794
Asked

3,689

Active Tutors

1440881

Questions
Answered

Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!

Submit Assignment