Suppose that when the price per ream of recycled printer paper rises from $4 to $4.50, the quantity demanded falls from 800 to 600 reams per day

Using the midpoint formula, what is the price elasticity of demand (in absolute value) over this range?
A) 0.003 B) 0.41 C) 2.43 D) 4

C

Economics

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Economists expect the relationship between consumption and disposable income to be

a. unpredictable. b. transitory. c. fixed. d. inverse e. stable.

Economics

Use the aggregate expenditures model and the following values to answer the next question.AMPCIGT$3500.75$400$400$200Determine the change in the equilibrium level of consumption (find ?C) following a decrease in government spending from 400 to 300 (?G = -$100).

A. negative $400 B. positive $400 C. positive $300 D. negative $300

Economics