Suppose a good has a downward-sloping, straight-line demand curve. If the price elasticity of demand is 2.5 when the price is $10 per unit, then the price elasticity of demand when the price is $7 per unit could be

Which of the following events will increase the quantity demanded of bottled water?

A) a fall in the price of bottled water B) a rise in the price of bottled water C) a rise in the price of a fitness club membership D) a fall in the price of soda E) an increase in the number of buyers of bottled water

An average tax rate is calculated as

A) total taxable income × taxes paid. B) taxes paid ÷ total taxable income. C) (total taxable income - taxes paid) ÷ taxable income. D) total taxable income ÷ taxes paid.