Week 7 - Kahoot Flashcards
1
Q
- A good with a price inelastic demand:
a. Has many substitutes
b. Is a luxury
c. All of these
d. Is a necessity
A
D
2
Q
- Which of the following does not have elastic demand:
a. Insulin
b. Take-out food
c. Movie tickets
d. Coach plane tickets
A
A
3
Q
- T/F inelastic demand curves are more vertical than horizontal
a. True
b. False
A
A
4
Q
- Price elasticity of demand = % change in quantity demanded divided by:
a. % change in income
b. % change in another good
c. % change in price
d. % change in quanity supplied
A
C
5
Q
- T/F If the price elasticity of demand, is more than 1, it’s elastic.
a. True
b. False
A
A
6
Q
- Price elasticities do not matter for revenue forecasts.
a. True
b. False
A
B
7
Q
- Which of the following is an INFERIOR good?
a. Yachts
b. Lattes
c. Generic brands
d. Concert tickets
A
C
8
Q
- For normal goods, when your income goes UP, you buy MORE.
a. True
b. False
A
A
9
Q
- To assess if two items are substitutes, I should compute cross-price elasticity.
a. True
b. False
A
A
10
Q
- ________ assesses how demand for one good changes based on the price changes of a related good
a. Price elasticity of demand
b. Cross price elasticity
c. Income elasticity
d. Price elasticity of supply
A
B
