Answer:
Absolute value of the price elasticity of demand = 6.8 (ELASTIC)
Explanation:
<em>(See attached)</em>
C. Your charging less for the same thing as your component they’re spending less money but your making more because more people will come to your location
Answer:
d.efficient in production but not necessarily in allocation.
Explanation:
The production possibility curve portrays the cost of society's choice between two different goods. An economy that operates at the frontier has the highest standard of living it can achieve, as it is producing as much as it can using the same resources. If the amount produced is inside the curve, then all of the resources are not being used.
- all points on the curve are points of maximum productive efficiency
- However, an economy may achieve productive efficiency without necessarily being allocatively efficient. Market failure (such as imperfect competition or externalities) and some institutions of social decision-making (such as government and tradition) may lead to the wrong combination of goods being produced (hence the wrong mix of resources being allocated between producing the two goods) compared to what consumers would prefer, given what is feasible on the PPF.
<span>This best represents the test
marketing stage. During this stage, a new product is released on a small scale
to a small market. Changes are made and if it is successful in the small
market, then it is introduced on a larger scale. </span>
<span>The cross-price elasticity of demand between salt and pepper is -0.50
In this example salt and pepper are Complements.
Instead, suppose salt and pepper were substitutes. If so, the the cross-price elasticity of demand between salt and peeper would be positive.</span>
