Answer:
(A) 10%
Explanation:
The price elasticity of demand measures the sensitivity of demand in the face of price change. The calculation of the price elasticity of demand consists in dividing the change in quantity by the change in price. If the result is greater than | 1 | We say that demand is elastic, that is, sensitive to changes in price. If the result is between 0 and 1 we say that demand is inelastic, not sensitive to changes in price.
Thus we already know that the demand for beer is elastic, price sensitive. By applying the formula, we get the following result:
E = ΔQ/ΔP
At where
E = elasticity
ΔQ = Change in Quantity
ΔP = Price change
Exercise gives us the data of E = 1.5% and ΔQ = 15%
So using the formula:
1,5 = 15%/ΔP
ΔP = 1,5/15 = 0,1 = 10%
Therefore, to reduce the number of student deaths in car accidents, a tax needs to raise the price of alcohol by 10%.
Note: It is given that the variation in the number of deaths is proportional to the variation in the quantity demanded for beer.
Answer:
Ways to minimize corruption:
addressing key areas like health and education service delivery, or the development of natural resources. establishing accountability through oversight systems and transparent decision-making. strengthening the accountability function of civil society and an independent media.
The delegates to the 1787 Convention represented a new generation of American leaders because of their age, mostly in their 30's and they were very open to change.
