Question :
41.Whileincollege,JohnandBethanyeachbuyfivepackagesofmac-n-cheeseperweek.Aftertheygraduateandhavefull-timejobs,Johnbuyssixpackagesperweek,butBethanybuysonlytwopackagesperweek.Whenlookingatincomeelasticityofdemandformac : 1262387
41.Whileincollege,JohnandBethanyeachbuyfivepackagesofmac-n-cheeseperweek.Aftertheygraduateandhavefull-timejobs,Johnbuyssixpackagesperweek,butBethanybuysonlytwopackagesperweek.Whenlookingatincomeelasticityofdemandformacncheese,John’s
a.isnegative,andBethany’sispositive.
b.ispositive,andBethany’sisnegative.
c.iszero,andBethany’sapproachesinfinity.
d.approachesinfinity,andBethany’siszero.
42.Whileincollege,MartyandLauraeachbuy15busticketspermonth.Aftertheygraduateandhavefull-timejobs,Martybuys0busticketspermonthandLaurabuys28busticketspermonth.Comparingincomeelasticityofdemandforbustickets,Marty’s
a.isnegative,andLaura’sispositive.
b.ispositive,andLaura’sisnegative.
c.iszero,andLaura’sispositive.
d.iszero,andLaura’sisnegative.
43.Assumethata4percentincreaseinincomeresultsina2percentincreaseinthequantitydemandedofagood.Theincomeelasticityofdemandforthegoodis
a.negative,andthegoodisaninferiorgood.
b.negative,andthegoodisanormalgood.
c.positive,andthegoodisanormalgood.
d.positive,andthegoodisaninferiorgood.
44.Assumethata4percentdecreaseinincomeresultsina6percentincreaseinthequantitydemandedofagood.Theincomeelasticityofdemandforthegoodis
a.negative,andthegoodisaninferiorgood.
b.negative,andthegoodisanormalgood.
c.positive,andthegoodisaninferiorgood.
d.positive,andthegoodisanormalgood.
45.Heath’sincomeelasticityofdemandforconcertsis2.Allelseequal,thismeansthatifhisincomeincreasesby10
a.2percentmoreconcerts.
b.5percentmoreconcerts.
c.10percentmoreconcerts.
d.20percentmoreconcerts.
46.Whenherincomeincreasedfrom$10,000to$20,000,Heather’sconsumptionofmacaronidecreasedfrom10poundsto5poundsandherconsumptionofsoy-burgersincreasedfrom2poundsto4pounds.WecanconcludethatforHeather,macaroni
a.andsoy-burgersarebothnormalgoodswithincomeelasticitiesequalto1.
b.isaninferiorgoodandsoy-burgersarenormalgoods;bothhaveincomeelasticitiesof1.
c.isaninferiorgoodwithanincomeelasticityof-1andsoy-burgersarenormalgoodswithanincomeelasticityof1.
d.andsoy-burgersarebothinferiorgoodswithincomeelasticitiesequalto-1.
47.Foodandclothingtendtohave
a.smallincomeelasticitiesbecauseconsumers,regardlessoftheirincomes,choosetobuyrelativelyconstantquantitiesofthesegoods.
b.smallincomeelasticitiesbecauseconsumersbuyproportionatelymoreofbothgoodsathigherincomelevelsthantheybuyatlowincomelevels.
c.largeincomeelasticitiesbecausetheyarenecessities.
d.largeincomeelasticitiesbecausetheyarerelativelyinexpensive.
48.Charlespurchases20basketballticketsperyearwhenhisannualincomeis$50,000and25basketballticketswhenhisannualincomeis$60,000.Charles’sincomeelasticityofdemandforbasketballticketis
a.0.82,andbasketballticketsareanormalgood.
b.0.82,andbasketballticketsareaninferiorgood.
c.1.22,andbasketballticketsareanormalgood.
d.1.22,andbasketballticketsareaninferiorgood.
49.Tylerpurchases5poundsofhotdogspermonthwhenhismonthlyincomeis$2,000and4poundsofhotdogspermonth whenhis monthlyincome is$2,200.Tyler’sincomeelasticityofdemandforhotdogsis
a.2.33,andhotdogsareanormalgood.
b.-2.33,andhotdogsareaninferiorgood.
c.0.43,andhotdogsareanormalgood.
d.-0.43,andhotdogsareaninferiorgood.
50.Cross-priceelasticityofdemandmeasureshow
a.thepriceofonegoodchangesinresponsetoachangeinthepriceofanothergood.
b.thequantitydemandedofonegoodchangesinresponsetoachangeinthequantitydemandedofanothergood.
c.thequantitydemandedofonegoodchangesinresponsetoachangeinthepriceofanothergood.
d.stronglynormalorinferioragoodis.