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Greeley [361]
3 years ago
14

Price elasticity of demand refers to the ratio of the: 1. percentage change in price of a product in response to the percentage

change in quantity demanded of the good.2. percentage change in price of a product in response to the percentage change in buyers income. 3. percentage change in quantity demanded of a product in response to the percentage change in the price of the good. 4. percentage change in quantity demanded of a product in response to the percentage change in price of another product. 5. none of the above.
Business
1 answer:
Kay [80]3 years ago
6 0

Answer: 3. percentage change in quantity demanded of a product in response to the percentage change in the price of the good.

Explanation:

As you well know, prices of goods can usually have an effect on the demand for a good. This phenomenon is known as Price Elasticity of Demand.

Price Elasticity of Demand is simply a measure of how people respond to a change in the price of a good. Do they buy it more or less or does the demand not change at all.

It is calculated by dividing the percentage change in quantity demanded of a product by the percentage change in the price of the good.

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The reason why people are charged for an additional can of soda they get from a soda machine, but are not charged for an additio
pshichka [43]

Answer:

The correct answer is Soda diminishes slowly, but the marginal utility of an additional paper is close to zero.

Explanation:

Marginal utility is the benefit we get from the consumption of an additional unit of a good or service.

Marginal utility (UM) refers to the concept of “additional” or “extra”. Thus, it is the utility that is added or added when we consume a unit more than one good or service.

vMarginal utility depends on consumer preferences, which are not always known. However, regardless of its form or level, economists often agree that it is generally true that, as the consumption of a product increases, the profit we obtain is falling. This phenomenon was reflected in the so-called "law of diminishing marginal utility".

8 0
3 years ago
Imagine that Odyssey National is a brand new bank, and that its required reserve ratio is 10 percent. Ifit accepts a $1,000 cash
lyudmila [28]

Answer:

a.$900

Explanation:

The required reserve is the amount of reserve required by the Central bank for banks to keep as reserves.

If the reserve ratio is 10% and $1000 is deposited, the required reserve is $100.

$1000 - $100 = $900 would be available to banks to give out as loans. Thus , money supply increases by $900.

I hope my answer helps you.

4 0
3 years ago
When museums charge a lower admission fee to students and senior citizens, this form of price discrimination is known as _______
AVprozaik [17]

Segmented pricing is a situation, when seller or a company establishes different prices (two or more), for one the same product.

Price segmentation, to put it simply, is the process of differentiating pricing based on willingness to pay. It is motivated by the reality that customers' price sensitivity might differ greatly from one another, from one product to another, and throughout all the environments in which they use your product.

With price segmentation, you may set different prices for various consumer types according to their willingness and ability to pay. Price segmentation allows you to profit more from consumers who spend the most and less from those who pay the least.

Learn more about Price segmentation here

brainly.com/question/14225381

#SPJ4

3 0
1 year ago
Is it ethical to be a billionaire?
yan [13]
Yes it is 100% you can do anything
7 0
3 years ago
The purchase of established firms abroad with the goal of using the existing production, marketing, and distribution networks an
lesya [120]

Answer:

Foreign acquisition

Explanation:

8 0
3 years ago
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