1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Luba_88 [7]
3 years ago
15

Suppose that the price of product x rises by 20 percent and the quantity supplied of x increases by 15 percent. The coefficient

of price elasticity of supply for good x is
Business
1 answer:
SSSSS [86.1K]3 years ago
3 0

Answer: Coefficient of elasticity of supply is 0.75.

Explanation:

Price elasticity of supply measures the responsiveness of quantity supplied to a change in the price of the good. It can be measured using the percentage point method,

e_{s} = \frac{Percentage change in Quantity supplied}{Percentage change in price}

=\frac{15}{20}

=0.75

Therefore, coefficient of elasticity of supply is 0.75. Since it is less than 1 we can infer that supply for this good is relatively inelastic.

You might be interested in
Stella is currently spending all of her weekly income purchasing the two goods that she likes cookies and milk. She is currently
Ivan

Answer:

Stella should consume less of milk and more of cookies to maximize total utility.

Explanation:

The price of cookies is ​$9​, and the price of milk is ​$3.

Stella consumes 10 cookies and 5 cartons of milk.

The marginal utility of 10th cookie is 50 utils and the marginal utility of 5th carton of milk is 25 utils.

Her total utility will be maximized if the ratio of marginal utility and price will be equal for both cookies and milk.

Ratio for cookies

= \frac{MUx}{Px}

= \frac{50}{9}

= 5.55

Ratio for milk

= \frac{MUy}{Py}

= \frac{25}{3}

= 8.33

Since the ratio is higher for milk, it means that Stella should consume less of milk and more of cookies to maximize total utility.

8 0
2 years ago
Most countries, including the United States, import substantial amounts of goods and services from other countries. Yet the chap
Tju [1.3M]

Answer:

The main determinant is the NET IMPORT, if the net import is higher than the net export then countries like the United States of America will have a low standard of living,while if the net export is higher than the net import then Countries like the United States of America will enjoy a high standard of living.

COMPARED TO NET EXPORTS, COUNTRIES LIKE THE UNITED STATES OF AMERICA HAVE A LOWER NET IMPORT WHICH GIVES THEM A POSITIVE BALANCE OF TRADE.

Explanation: THE VOLUME OF IMPORT IS NOT THE MAIN CONCERN, THE MAIN CONCERN IS THE VOLUME OF NET IMPORT COMPARED TO THE VOLUME OF NET EXPORT COUNTRIES LIKE THE UNITED STATES OF AMERICA HAVE A HIGHER NET EXPORT THAN NET IMPORT WHICH GIVES THEM TRADE ADVANTAGE AND A POSITIVE BALANCE OF TRADE. With a good balance of trade a country like the United States of America will maintain and enjoy a high standard of living as the volume of imports is always lower than the value of what is exported.

3 0
3 years ago
Jamal worked for a delivery company, and he was driving sometimes up to 10 hours a day. One afternoon, on the way back from maki
notsponge [240]

Answer:

Yes, the company is liable because Jamal was on his work route and took a minor detour to pick shirts he needed for work.

Explanation:

Generally what determines if the company is liable or not for a car accident, is if the employee was acting within the scope of his/her normal employment activities. In this case, even though Jamal took a break to pick up some shirts for work, he didn't deviate form his normal activities and not even from his normal work route. He was actually coming back from making a delivery.

It would have been different if he had gone to a different neighborhood or downtown just to pick the shirts. You must also consider that Jamal drives the delivery truck 10 hours a day, and that doesn't leave him a lot of spare time for his own personal activities, and this particular one was also related to his work.

This situation is similar to an accident happening when a truck driver is stopping to go to the bathroom or eating something while travelling.

8 0
2 years ago
If Jeff's wage rate rises, he decides to work more hours. From this, we can infer that____________.
marshall27 [118]

Answer:

If Jeff's wage rate rises, he decides to work more hours. From this, we can infer that  for Jeff, the substitution effect is greater than the income effect - option C.

Explanation:

The substitution effect is stronger than the income effect in a case whereby  the supply of labor increases as the wage rate increases .

On the other hand, when the supply of labor decreases as the wage rate increases, then the income effect is stronger than the substitution effect.

With regards to the scenario given in the question - with an increase in the wage rate, Jeff has decided to work more hours.

Thus, in the given case, it can be inferred that for Jeff, the substitution effect is greater than the income effect.

Therefore, the correct answer is option C.

3 0
3 years ago
After new research shows potentially damaging health effects of Good X, government leaders impose a new tax that firms must pay
geniusboy [140]
Hello!
I do believe the answer is B.
Hopefully this helped :)
Mark me brainilest if you get the chance .
3 0
3 years ago
Other questions:
  • Laura is head of ABC Systems. She needs to allocate a fixed amount of funds to various projects. There are two top projects that
    5·1 answer
  • What is the problem with paying only your minimum credit card balance each month?
    13·1 answer
  • The following lots of Commodity Z were available for sale during the year. Beginning inventory 7 units at $49 First purchase 18
    10·1 answer
  • The belief that culture is held together by a series of important elements such as economy, education, religion, kinship, and po
    10·1 answer
  • The financial model that measures the current value of all cash inflows and outflows using management's minimum desired rate of
    9·1 answer
  • During Carl’s first semester in college, he walks through his student union building everyday on his way to classes. At the begi
    14·1 answer
  • Ecco Company sold $151,000 of kitchen appliances with six-month warranties during September. The cost to repair defects under th
    15·1 answer
  • A city ordered uniforms with an expected cost of $6,000 for policemen. This amount is encumbered.
    14·1 answer
  • Raw Materials Inventory Begin. Inv. 12,400 Purchases 47,000 Avail. for use 59,400 DM used 50,000 End. Inv. 9,400 Work in Process
    5·1 answer
  • HELPPP PLEASE !
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!