If the absolute price elasticity of demand for automobiles is equal to 0.75, we say

A) that demand is inelastic.
B) that demand is elastic.
C) that there is a strong responsiveness of quantity demanded to automobiles price cuts.
D) none of the above is correct.

A

Economics

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If d is the depreciation rate and K is the capital stock, the amount of investment required to keep the economy in a steady state is given by:

A) I = d - K. B) I = d + K. C) I = d × K. D) I = d/K.

Economics

If purchasing power parity exists and the exchange rate is 1.50 U.S. dollars per British pound, than a latte that has a price of $4.00 in San Jose, California, has a price of ________ in London, England

A) 2.67 pounds B) 4.00 pounds C) 8.00 pounds D) 0.37 pounds E) 6.00 pounds

Economics