Economics

Elasticity

Dept. of Economics @ NCKU

Weng, Ming-Hung
 Q1
Suppose the price of a product has increased by
$100 in from $500 while its quantity demanded
is down by 200 units from 2,000 units.
=
1. -4
2. -2
3. -0.5
4. -0.25
 Q2
Which category is more elastic
1. Olive oil
2. Vegetable oil (including olive oil + sesame oil
+ other vegie oil, etc.)
3. Cooking oil (including vegetable oil + butter +
other cooking oil, etc.)
 Q3
The price elasticity measured within a _____ is
more elastic
1. month
2. year
3. decade
 Q4
If the price of shampoo goes up due to higher
inspection fees, will we spend more or less?
1. More
2. Less
3. Not sure
 Q5
THSR raised its price in 2013. If its revenue
increases by 8% afterwards, its demand is
considered
1. elastic.
2. unitary elastic.
3. inelastic.
4. neither elastic nor inelastic.
 Q6
Which pair of commodities are closer substitutes?
1. A. 2. B. 3. C. 4. D. 5. E

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