Question :
31.RefertoTable5-8.Usingthemidpointmethod,whatistheincomeelasticityofdemandforgoodX?
a.-3.5
b.-0.29
c.0.29
d.3.5
32.RefertoTable5-8.Usingthemid : 1262386
31.RefertoTable5-8.Usingthemidpointmethod,whatistheincomeelasticityofdemandforgoodX?
a.-3.5
b.-0.29
c.0.29
d.3.5
32.RefertoTable5-8.Usingthemidpointmethod,theincomeelasticityofdemandforgoodYis
a.2.33,andgoodYisanormalgood.
b.-2.33,andgoodYisaninferiorgood.
c.-0.43,andgoodYisanormalgood.
d.-0.43,andgoodYisaninferiorgood.
33.Supposetheincomeelasticityofdemandis-0.5forgoodX.Thisimpliesthata5%decreaseinincomewillcausethequantitydemandedofgoodXto
a.increaseby2.5%,andXisaninferiorgood.
b.decreaseby2.5%andXisanormalgood.
c.increaseby10%andXisaninferiorgood.
d.decreaseby10%andXisanormalgood.
34.Lastyear,Maxbought6pairsofathleticshoeswhenhisincomewas$35,000.Thisyear,hisincomeis$42,000,andhepurchased8pairsofathleticshoes.Holdingotherfactorsconstant,itfollowsthatMax
a.considersathleticshoestobenecessities.
b.considersathleticshoestobeinferiorgoods.
c.considersathleticshoestobenormalgoods.
d.hasalowpriceelasticityofdemandforathleticshoes.
35.Lastyear,Tessbought5handbagswhenherincomewas$54,000.Thisyear,herincomeis$60,000,andshe
a.0.32,andTessregardshandbagsasinferiorgoods.
b.0.32,andTessregardshandbagsasnormalgoods.
c.3.17,andTessregardshandbagsasinferiorgoods.
d.3.17,andTessregardshandbagsasnormalgoods.
36.Lastyear,Jimbought8ticketstosportingeventswhenhisincomewas$30,000.Thisyear,hisincomeis$33,000,andhepurchased10ticketstosportingevents.Holdingotherfactorsconstantandusingthemidpointmethod,itfollowsthatJim’sincomeelasticityofdemandisabout
a.0.43,andJimregardsticketstosportingeventsasinferiorgoods.
b.0.43,andJimregardsticketstosportingeventsasnormalgoods.
c.2.33,andJimregardsticketstosportingeventsasinferiorgoods.
d.2.33,andJimregardsticketstosportingeventsasnormalgoods.
37.Danitarescuesdogsfromherlocalanimalshelter.WhenDanita’sincomerisesby7percent,herquantitydemanded
a.negative,anddogbiscuitsareanormalgood.
b.negative,anddogbiscuitsareaninferiorgood.
c.positive,anddogbiscuitsareaninferiorgood.
d.positive,anddogbiscuitsareanormalgood.
38.Lastyear,Joanbought50poundsofhamburgerwhenherhousehold’sincomewas$40,000.Thisyear,herhouseholdincomewasonly$30,000andJoanbought60poundsofhamburger.Allelseconstant,Joan’sincomeelasticityofdemandforhamburgeris
a.positive,soJoanconsidershamburgertobeaninferiorgood.
b.positive,soJoanconsidershamburgertobeanormalgoodandanecessity.
c.negative,soJoanconsidershamburgertobeaninferiorgood.
d.negative,soJoanconsidershamburgertobeanormalgoodbutnotanecessity.
39.YouandyourcollegeroommateeatthreepackagesofRamennoodleseachweek.Aftergraduationlastmonth,bothofyouwerehiredatseveraltimesyourcollegeincome.YoustillenjoyRamennoodlesverymuchandbuyevenmore,butyourroommateplanstobuyfewerRamennoodlesinfavoroffoodssheprefersmore.WhenlookingatincomeelasticityofdemandforRamennoodles,yourswould
a.benegative,andyourroommate’swouldbepositive.
b.bepositive,andyourroommate’swouldbenegative.
c.bezero,andyourroommate’swouldapproachinfinity.
d.approachinfinity,andyourroommate’swouldbezero.
40.YouandyourcollegeroommateeatthreepackagesofRamennoodleseachweek.Aftergraduationlastmonth,bothofyouwerehiredatseveraltimesyourcollegeincome.YourroommatestillenjoysRamennoodlesverymuchandbuysevenmore,butyouplantobuyfewerRamennoodlesinfavoroffoodsyouprefermore.WhenlookingatincomeelasticityofdemandforRamennoodles,yourswould
a.benegativeandyourroommate’swouldbepositive.
b.bepositiveandyourroommate’swouldbenegative.
c.bezeroandyourroommate’swouldapproachinfinity.
d.approachinfinityandyourroommate’swouldbezero.
(or a similar one of your choice), take the WBS elements from your WS created in Module 4, and brainstorm activities required to complete each deliverable. Type the activities into the yellow sticky notes that are included in the PowerPoint.