All categories

4 years ago

The demand for gold toe socks is likely to be more elastic than the demand for power tools because:

2 answers:

3 0

The demand for gold toe socks is likely to be more elastic than the demand for power tools because, generally speaking, power tools would be a bit more expensive than gold toe socks would be, and they also may have more substitutes than power tools would have.

PIT_PIT [208]4 years ago

3 0

The demand for gold toe socks is likely to be more elastic than the demand for power tools because the gold toe sock has more substitutes than the power tools

Further Explanation:

Price Elasticity: It measures the sensitivity of the demand for the services and goods to the change prices. If the demand is elastic then, the small change in price will result in the change in demand. If the demand is elastic then, the change in price will not effect the demand of the commodity.

The number of subsitutes available effects the elasticity of demand. If the number of subsitutes available is more then, demand will be elastic or vice versa. In the case of gold toe sock, there are many substitutes available that can replace the gold toe sock so the demand is elastic. But the

demand for power tools is less elastic because it has fewer subsitutes.

Learn more:

1. Demand and type of goods

brainly.com/question/11220857

2. Demand and supply of goods

brainly.com/question/11045011

3. Elasticity of demand

brainly.com/question/2396092

Answer details:

Grade: High School

Subject: Economics

Chapter: Elasticity of demand

Keywords: The demand for gold toe socks is likely to be more elastic than the demand for power tools because, the gold toe sock has more substitutes than the power tools.

You might be interested in

Graphically illustrate (using the WS and PS relations) and explain the effects of an increase in the markup on the equilibrium r

lana66690 [7]

Answer:

When the markup increases, real wage decreases and because of the decrease or the now low real wage the demand for labor at a low cost decreases which leads to a increase in the natural rate of unemployment. In addition the natural rate of unemployment has an inverse relationship with the natural level of employment, therefore, the natural rate of employment will decrease. And the output level will decrease.

Explanation:

See attached picture:

The decrease in real wage is shown by the movement from W/P to W/P'.

The increase in the natural rate of unemployment is shown by the movement from Un to Un' and the new equilibrium is at B.

4 0

3 years ago

The efficient-market hypothesis:a) has little empirical validity. b) implies that security prices properly reflect information a

Murljashka [212]

Answer:

b) implies that security prices properly reflect information available to investors and that active traders will find it difficult to outperform a buy-and-hold strategy.

Explanation:

The efficient market hypothesis states that the price of assets in the market reflects all information that is available. This means that it is impossible to gain unfair advantage over others in the market as a result of privileged information about a transaction.

In this scenario a buy and hold strategy will be most effective because investors can buy assets and hold them for a long time regardless of short term fluctuations. Sale is made at a optimal time.

Active traders will be subject to short term fluctuations and will most likely not perform like the buy and hold traders

8 0

3 years ago

How can a nation improve its business climate?

Zarrin [17]

Reduce interest rates to make it easier for businesses to obtain new loans and expand commerce. Also, create tax inventives for desired business that would benefit say a nation that is on a coastal waterway. Offerring a reduction in taxes paid by corporations that import and export goods and services. This attracting more business.

5 0

3 years ago

Read 2 more answers

Which of the following is part of the M2 definition of the money supply, but not part of M1?

STALIN [3.7K]

Answer:

The answer is b

Explanation:

Demand for money is the situation in which money are held in cash form without spending it. The demand for money is a derived demand in the sense that people do not spend all their salaries when they receive it at the end of the month. The portion of their salaries which they do not spent immediately they are received is what we referred to as the demand for money. There are three reasons for holding money which are

Transaction motive :This is the desire to keep money in order to meet the day to day transaction of business such as buying of foodstuff and to meet other family need .

Precautionary motive : This is the desire to keep money in order to meet the unforseen circumstances which are not planned for but which immediately occur, such as sickness, unexpected visitors, breakdown of one's car,

Speculative motive :This is the desire to keep money with the hope of using the money in making quick money. It is a money held with the hope of giving it out in form of loan if the interest is high and at a short period of time.for instance purchasing shares at a lower prices and re-selling it at higher prices .it also includes buying goods at a lower prices and re-selling at a higher prices for example cars.

7 0

3 years ago

Pull dates indicate the last day a product should be sold.From the items listed, which one is most likely to have a pull date?

AlladinOne [14]

Hello M5irenflorevert,
I would say bread because it is the most perishable food on that list.
Even after a few days it can get crusty and nasty.
~Naterator
Please Thank If This Helped <3

3 0

3 years ago

Read 2 more answers