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.