Chapter 4 - Elasticity
0.0(0)
Studied by 6 people
View linked note
Call Kai
Learn
Practice Test
Spaced Repetition
Match
Flashcards
Knowt PlayCard Sorting
1/9
Last updated 3:42 AM on 9/26/22
Name | Mastery | Learn | Test | Matching | Spaced | Call with Kai |
|---|
No analytics yet
Send a link to your students to track their progress
10 Terms
1
New cards
Price elasticity of demand
percentage change in the quantity demanded of a good/service that results from a 1 percent change in its price
2
New cards
Perfectly elastic demand
demand is perfectly elastic with respect to price if price if elasticity of demand is infinite
3
New cards
Perfectly inelastic demand
demand is perfectly inelastic with respect to price if price elasticity of demand is zero
4
New cards
Total daily expenditure on a good
daily number of units bought times the price for which it sells
5
New cards
Total expenditure = Total revenue
The dollar amount that consumers spend on a product (P x Q) is equal to the dollar amount that sellers receive
6
New cards
Cross-price elasticity of demand
percentage by which the quantity demanded of the first good changes in response to a 1 percent change in the price of the second
7
New cards
Income elasticity of demand
percentage by which quantity demanded changes in response to a 1 percent change in income
8
New cards
Price elasticity of supply
percentage change in quantity supplied that occurs in response to a 1 percent change in price
9
New cards
Perfectly inelastic supply
supply is perfectly inelastic with respect to price if elasticity is zero
10
New cards
Perfectly elastic supply
supply is perfectly elastic with respect to price if elasticity of supply is infinite
Flashcards (154)