🏷️ LIMITED TIME OFFER: GET 20% OFF GRADE+ YEARLY SUBSCRIPTION →
Log in
Economics
8
answers
0
watching
385
views
20 Dec 2017

38. Suppose that the price elasticity of demand for apples is 0.75. Which of the following is true? (a) An increase in the supply of apples will increase total revenue from apple sales. (b) There is not enough information to conclude whether total revenue will increase or decrease. (c) An increase in the supply of apples will no affect total revenue from apple sales. (d) An increase in the supply of apples will decrease total revenue from apple sales.

word_media_image1.jpeg
Watch
8
answers
0
watching
385
views

For unlimited access to Homework Help, a Homework+ subscription is required.

Unlock all answers

Get 1 free homework help answer.
Already have an account? Log in
Share
Already have an account? Log in
Share
Already have an account? Log in
Share
Already have an account? Log in
Share
Already have an account? Log in
Share
Already have an account? Log in
Share
Already have an account? Log in
Share
Reid Wolff
Reid WolffLv2
22 Dec 2017
Already have an account? Log in
Share

Related textbook solutions

Principles of Economics
2nd Edition, 2017
Openstax
ISBN: 9781947172364
Principles of Macroeconomics
2 Edition,
Openstax
ISBN: 9781947172388
Principles of Microeconomics
2 Edition,
Openstax
ISBN: 9781947172340

Related questions

the individual supplies of apples from three apple orchards are 460, 580, and 700 apples respectively, when the equilibrium price of an apple is $0.75. Identify the correct statement from the following.

a) The market supply at $0.75 is 1,540 apples

b)The market demand at $0.75 is 1,740 apples

c) If the price rises above $0.75, there will be an excess demand for apples in the market

d) if the price rises above $0.75, the market supply will be lower than 1,740 apples

Assume that apples are produced in a perfectly competitive market. Columbia’s Orchard is a typical firm that grows and sells apples. Currently, Columbia earns zero economic profit, and the market price of apples is $10 per bushel.

a) Draw a correctly labeled graph showing Columbia’s demand curve, average total cost curve, and marginal cost curve, and show the profit-maximizing quantity, labeled Qc.

b) Suppose an increase in the popularity of apple, the demand for apple increases.

How will the increase in the demand for apples affect Columbia’s economic profit in the short run? Explain.

c) What will happen to Columbia’s economic profit in the long run? Explain.

Assuming hypothetical equilibrium in Demand/Supply Model of Apples, illustrate the impact of the following events:

A. Suppose the Doctors recommend eating Apples every morning.

B. The Monsoon rains adversely affect the Apple Harvest.

C. The government announces an increase in the wages of workers.

D. The price of petrol in the market comes down.

E. Consumers Income falls during government-imposed lockdowns due to health concerns.

Related Documents

ECO101H1 Lecture 7: Lecture 7-Price Elasticity of Demand and Total Revenue
copperclam445
ECO 1104 Lecture Notes - Lecture 10: Normal Good, Inferior Good, Demand Curve
purplewallaby959
ECO101H1 Lecture Notes - Lecture 4: Deadweight Loss, Complementary Good, Laundry Detergent
champagnegoat846

Weekly leaderboard

Home
Homework Help 3,900,000
Economics 400,000
Start filling in the gaps now
Log in