The current price floor in the agricultural lettuce market makes it such that the price of lettuce is 25% higher than the equilibrium price and that 100 heads of lettuce are demanded
Assuming that the elasticity of demand for lettuce is -0.50, how much would revenue (P ? Q) change for the lettuce company if the government removed the current price floor?
A) Revenue will increase by $15.60.
B) Revenue will decrease by $15.60.
C) Revenue will increase by $40.60.
D) Revenue will increase by $ 9.40.
B
Economics
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A. movement of resources between nations. B. exports and imports of goods and services. C. transfer of information from one nation to another. D. transfer of money between nations.
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Which of the following equations is an overidentified equation??
A. ?y1=?12y2+?13y3+?11z1+u1 B. ?y2= ?21y1 + ?21z2 + ?23z3 + u2 C. ?y3=?32y1+?31z1+?32z2+?33z3+?34z4+u3 D. ?y1=?10+?1y2+z1?1+u1
Economics