The price elasticity of demand for personal computers is -1.5. Which of the following is true? a. An increase in the price of personal computers will increase total revenue of sellers. b. A decrease in the price of personal computers will decrease total revenue of sellers. c. A decrease in the price of personal computers will increase total revenue of sellers. d. An increase in the price of personal computers will have no effect on total revenue of sellers.
The price elasticity of demand for personal computers is -1.5. Which of the following is true? a. An increase in the price of personal computers will increase total revenue of sellers. b. A decrease in the price of personal computers will decrease total revenue of sellers. c. A decrease in the price of personal computers will increase total revenue of sellers. d. An increase in the price of personal computers will have no effect on total revenue of sellers.
Chapter5: Elasticity Of Demand And Supply
Section: Chapter Questions
Problem 4.9P: (Other Elasticity Measures) Complete each of the following sentences: a. The income elasticity of...
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The price elasticity of demand for personal computers is -1.5. Which of the following is true?
a.
An increase in the price of personal computers will increase total revenue of sellers.
b.
A decrease in the price of personal computers will decrease total revenue of sellers.
c.
A decrease in the price of personal computers will increase total revenue of sellers.
d.
An increase in the price of personal computers will have no effect on total revenue of sellers.
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