Answer:
B. increase tuition in order to increase revenue
Explanation:
Price elasticity of demand is a concept that seeks to measure the sensitivity of demand to the price of a good or service. Thus, if demand is elastic, it means that even small variations in price have a strong impact on demand. Conversely, if demand is inelastic, variations in the price of the good will not greatly affect demand, meaning consumers will continue to demand that particular good or service. The calculation of the price elasticity of demand consists in the division between the variation of the quantity demanded by the variation in the price practiced. If the result is greater than 1, demand is considered elastic (price sensitive). Conversely, if elasticity is less than 1, demand is considered inelastic (little price sensitive). If elasticity equals one, then the change in demand is exactly the same as the price change.
In the case of this faculty, the demand for courses is 0,91, so it's less than 1, therefore inelastic demand. This way, the college can maximize its revenue by increasing the tuition fee.
Growth, population size, population studies, population vital statistics
Based on comparative advantage and the situation described above, <u>the country that would benefit is Canada, while the country would be at a disadvantage in the United States.</u>
<h3>What is Comparative Advantage?</h3>
Comparative Advantage is the economic term used to describe the economy's ability of a company or country to manufacture a specific commodity or service at a cheaper opportunity cost than its trading partners.
Therefore, currently, Canada is known to have many industries in the oil, such as petroleum and natural gas. Therefore, Canada can quickly produce and trade oil at cheaper production costs with the United States.
However, United States' top industry does not include auto part production; therefore, to trade auto parts with Canada would be expensive to the United States.
Hence, in this case, it is concluded that the correct answer is Canada would benefit, while the United States would be at a disadvantage.
Learn more about Comparative Advantage here: brainly.com/question/7045530
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