--%>
Assignment Help - homework help

For luxury items absolute value of price elasticity

The absolute value of price elasticity of demand tends to be lower when: (w) the greater the number of substitutes available. (x) the more important the product is in classical budgets. (y) for necessities than for luxury items. (z) when more time is permitted to adjust to price changes.

I need a good answer on the topic of Economic problems. Please give me your suggestion for the same by using above options.

   Related Questions in Microeconomics

  • Q : Employed Currency in 1700s In 1700s

    In 1700s what currency was employed?

    		•
  • Q : Goods of negative income elasticity of

    When the income elasticity of market demand is negative, in that case most consumers view the good as: (w) a luxury good. (x) having several imperfect substitutes. (y) an inferior good. (z) a normal good. Hey frien

    		•
  • Q : Elasticity of demand changes with price

    Calculating the price elasticity of demand for DVD games for a price variation from $50 to zero in such demand curve is: (w) 0. (x) infinity. (y) mostly meaningless since elasticity changes continuously over such range. (z) 1.5.

    Q : Income effect of a wage Can someone

    Can someone help me in finding out the right answer from the given options. When the income effect of a wage raise is more powerful than the substitution effect, then the:  (1) Labor supply curve will be ‘backward bending’. (2) Unemployment rate will

    		•
  • Q : Price taker and a quantity adjuster

    When the world price for this year’s wheat crop is $10 per bushel, and Del, a profit maximizer one who owns the biggest wheat farm within North Dakota: (i) is a quantity taker and a price adjuster. (ii) cannot generate an economic profit into th

    		•
  • Q : Monopolist of profit maximizing When

    When this is feasible for total revenue to cover all variable costs, in that case a profit maximizing monopolist will generate: (w) where marginal revenue equals marginal costs [MR = MC]. (x) in the inelastic portion of the demand cur

    		•
  • Q : Shut down point in the short run A

    A monopolist will shut down during the short run when its equilibrium price as: (w) equals short-run average cost. (x) exceeds marginal cost. (y) is less than average variable cost. (z) is less than average fixed cost.

    Q : When is demand more elastic at a price

    Along this demonstrated in below demand curve for DVD games, demand is more elastic at a price of: (w) $10. (x) $6. (y) $1. (z) zero.

    Q : Problem on market supply of labor Can

    Can someone please help me in finding out the accurate answer from the following question. The marginal resource cost for monopsonist in the labor market which can’t wage discriminate: (1) Is perfectly elastic. (2) Is perfectly inelastic. (3) Lies above the mark

    		•
  • Q : How is a shift in demand reflected in a

    How is a shift in demand reflected in a demand equation? How is a shift in supply reflected in a supply equation? How is a movement along a demand (supply) curve reflected in a demand (supply) equation?