The price elasticity of demand for DVDs is 2. If the price of a DVD increased by 2 percent, the quantity demanded will ________
A) decrease by 2 percent
B) not change
C) decrease by 4 percent
D) decrease by 1 percent
C
Economics
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The change in consumption divided by the change in disposable income is called the
A. marginal propensity to consume. B. probability of spending. C. the marginal product. D. marginal aggregate spending.
Economics
If the demand for a good increases, it is likely that the demand for the factors of production used as inputs will:
A. increase. B. stay the same. C. decrease. D. None of these statements is true.
Economics