Assume the demand for plastic surgery is price inelastic

Assignment Help Business Economics
Reference no: EM13851055

Assume the demand for plastic surgery is price inelastic. Are the following statements true of false? Explain.

a. When the price of plastic surgery increases, the number of operations decreases.

b. The percentage change in the price of plastic surgery is less than the percentage change in quantity demanded.

c. Changes in the price of plastic surgery do not effect the number of operations.

d. Quantity demanded is quite responsive to changes in price.

e. If more plastic surgery is performed, expenditures on plastic surgery will decrease.

f. The marginal revenue of another operation is negative.

Reference no: EM13851055

Questions Cloud

Identify firms that periodically shut down their operations : Identify firms that periodically shut down their operations. What are the conditions that exist when they shut down their operations and the conditions that exist when they resume their operations? Explain your reasoning.
Explain the purpose of gina : Review the Genetic Information Nondiscrimination Act of 2008 (http://www.eeoc.gov/laws/statutes/gina.cfm) (GINA). Explain the purpose of GINA
Assume the demand for plastic surgery is price inelastic : Assume the demand for plastic surgery is price inelastic. Are the following statements true of false? Explain. When the price of plastic surgery increases, the number of operations decreases.The percentage change in the price of plastic surgery is le..
Drive to increase production of alternative fuels from corn : Recently there has be a drive to increase the production of alternative fuels from corn. The argument used by many is energy self sufficiency. In light of the desire to reduce our use of foreign produced oil, many have suggested we should subsidize t..
Assume the demand for plastic surgery is price inelastic : Assume the demand for plastic surgery is price inelastic. Are the following statements true of false? Explain. When the price of plastic surgery increases, the number of operations decreases.The percentage change in the price of plastic surgery is le..
Legislation to increase minimum wage in the nation : Recently, the House of Representatives passed legislation to increase the minimum wage in the nation from $5.15 to $7.50. What are the pros and cons of this proposal? Provide an analysis based on the demand and supply of labor.
Supply is given by the equation : Supply is given by the equation P=10+0.05Q. Demand is given by the equation P=600-0.05Q. Calculate the price and quantity at which the price elasticity of demand is equal to -1. How might you describe that point?
Maximum points awarded : A project has cash flows of -$12,000 in Year 1, +$5000 in Years 2 and 3, -$2000 in Year 4, and +$6000 in Years 5 and 6. Use an interest rate of 12%. Find the interest rate that gives a net present value of zero.
Explain relationship between business issues and practice : Comprehensively explains and critically analyses the relationship between the business issues and practice and solving using appropriate and accurate decision models.

Reviews

Write a Review

 

Business Economics Questions & Answers

  Illustrate what price should firm charge in short run

A firm sells its product in a perfectly competitive market where or firms charge a price of $80 per unit. Illustrate what price should firm charge in short run.

  Economic replacement analysis

A material handling system was purchased 3 years ago for $120,537. Two years ago it required substantial upgrading at a cost of $14,340. It once again is requiring an upgrading cost of $24,925. Alternately, a new system can be purchased today at a co..

  Illustrate what is monetary approach tools

Illustrate what Monetary Approach Tools should the Federal Reserve utilize to fight inflation. Describe them thoroughly.

  Arguments strengthen the idea of floating exchange rates

Which of the following arguments strengthen the idea of floating exchange rates? A. Trade deficits can be corrected through changes in exchange rates. B. Changes in exchange rates will not impact the trade balance in the country. C. Governments shoul..

  Illustrate country has an absolute advantage in both goods

Illustrate what is the difference between absolute advantage and comparative advantage. If a country has an absolute advantage in both goods.

  Uses advertising to create the impression

Pepsi uses advertising to create the impression that Pepsi is superior to any other soft drink. Pepsi is attempting to:

  What is real compounded interest rate earned

20 years ago John invested $10,000 in a mutual fund. The value of his investment declined by 19% during the first year and then declined another 30% during the second year. 18 more years have passed, and john's cumulative return on the 20 year period..

  Directly charge their residents for collecting garbage

The local government does not directly charge their residents for collecting garbage. However, the city faces increasing marginal costs of MC=1+0.6Q per ton. Residents' market benefit for garbage is MB=250-2.2Q per ton. How much garbage will resident..

  Equivalent annual worth of costs

What is the equivalent annual worth of costs for the website over a total of 6 years at an interest rate of 12% per year.

  Income inequality and poverty affect us in many ways

Income inequality and poverty affect us in many ways we may not think about. Gregory W. is a homeless man in Louisiana who was arrested for stealing food from a grocery store.  What would be a fair way to hold this man accountable for his theft? When..

  Compute the short- run and long- run results

Compute the short- run and long- run results, explain the changes in the price and in the number of firms.

  Illustrate what will be the new equilibrium price

some firms leave the industry and the industry returns back to a long-run equilibrium. Illustrate what will be the new equilibrium price, assuming cost conditions in the industry remain constant.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd