If the market elasticity of demand for potatoes is -0.3 in a perfectly competitive market, then the individual farmer's elasticity of demand
a. will also be -0.3.
b. depends on how large a crop the farmer produces.
c. will range between -0.3 and -1.0.
d. will be infinite.
d
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Refer to the short-run production and cost data. In Figure A curve (1) is:
A. total product and curve (2) is average product.
B. total product and curve (2) is marginal product.
C. average product and curve (2) is marginal product.
D. marginal product and curve (2) is average product.
Consumers who clip and redeem discount coupons:
A. Exhibit the same price elasticity of demand for a given product than consumers who do not clip and redeem coupons B. Exhibit a higher price elasticity of demand for a given product than consumers who do not clip and redeem coupons C. Exhibit a lower price elasticity of demand for a given product than consumers who do not clip and redeem coupons D. Cause total revenue to decrease for firms that issue coupons for their products