Question ECO/561Week 6 Knowledge Check

01 Jun Question ECO/561Week 6 Knowledge Check

Posted at 06:15h in Essay Writing Services by Past Papers

Question

ECO/561Week 6 Knowledge Check1.If the demand curve is QD = 100 – 10P and there is a $1 price increase, then the elasticity of demand at P = 2 is

A.-0.25
B.-0.5
C.-0.75
D.-1

2.If the absolute value of a demand elasticity is less than 1, then

A.the demand is inelastic, and a price rise will reduce the total revenue
B.the demand is inelastic, and a price rise will increase the total revenue
C.the demand is elastic, and a price rise will reduce the total revenue
D.the demand is elastic, and a price rise will increase the total revenue

3.If the cross-price elasticity is negative, then the two goods are

A.unrelated
B.substitutes
C.complements
D.normal goods

4.Under perfect competition, a firm maximizes its profit by setting

A.P = MC because P = MR
B.P above MC where MC = MR
C.P = FC

5.In a large city, a good, real-world example for perfect competition would be

A.lawyers
B.gas stations
C.Time Warner Cable
D.clothing stores

6.A firm under monopolistic competition will earn

A.positive economic profit because it has some monopoly power
B.zero economic profit because it sets P = MC
C.zero economic profit because its P = ATC
D.positive economic profit because it sets MC = MR

Our website has a team of professional writers who can help you write any of your homework. They will write your papers from scratch. We also have a team of editors just to make sure all papers are of HIGH QUALITY & PLAGIARISM FREE. To make an Order you only need to click Ask A Question and we will direct you to our Order Page at WriteDemy. Then fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.

Fill in all the assignment paper details that are required in the order form with the standard information being the page count, deadline, academic level and type of paper. It is advisable to have this information at hand so that you can quickly fill in the necessary information needed in the form for the essay writer to be immediately assigned to your writing project. Make payment for the custom essay order to enable us to assign a suitable writer to your order. Payments are made through Paypal on a secured billing page. Finally, sit back and relax.

Do you need an answer to this or any other questions?

About Writedemy

We are a professional paper writing website. If you have searched a question and bumped into our website just know you are in the right place to get help in your coursework. We offer HIGH QUALITY & PLAGIARISM FREE Papers.

How It Works

To make an Order you only need to click on “Order Now” and we will direct you to our Order Page. Fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.

Are there Discounts?

All new clients are eligible for 20% off in their first Order. Our payment method is safe and secure.

Hire a tutor today CLICK HERE to make your first order

Print page