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(a) family farm (b) petty shopper
(c) flower vendor
An excess of price over marginal cost is the market’s way of signaling the need for more production of a good.
A) family
B)petty shopper's
C) flower vendor
Assume that you are from any one of the following family how can you utilize the limited resources to fulfill your needs
B) petty shopper's
C) flower vendor
Suppose that business travelers and vacationers
have the following demand for airline tickets
from New York to Boston:
Quantity Demanded Quantity Demanded
Price (business travelers) (vacationers)
$150 2,100 tickets 1,000 tickets
200 2,000 800
250 1,900 600
300 1,800 400
a. As the price of tickets rises from $200 to
$250, what is the price elasticity of demand
for (i) business travelers and (ii) vacationers?
(Use the midpoint method in your
calculations.)
b. Why might vacationers have a different
elasticity from business travelers?
Assume that you are from any of the following family how can you utilise the limited resources to fulfill your needs.
A.family farm
B.petty shopper
C.flower vender
