38 Refer to Exhibit 19-3. If price decreases from $5.50 to $4.50, total revenue along the...

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38 Refer to Exhibit 19-3. If price decreases from $5.50 to $4.50, total revenue along the demand curve increases to $67.50. a. increases to $87.50. b. remains at $87.50. C. d. decreases to $67.50. decreases to $27.50. e. 39 Refer to Exhibit 19-3. When price decreases from $5.50 to $4.50, the price elasticity of supply is 0. а. b. 0.1 0.5 C. 1.0 d. 5.0. е. the goods are When the cross elasticity of demand between two goods is 40. negative; substitutes for one another а. negative; complements for one another b. positive; normal goods C. positive; inferior goods d. If price elasticity of demand is 0.5, it follows that a cause a percent decrease in price would 41. percent increase in quantity demanded. 50; 1 а. 0.5; 1 b. 0.5;0.5 C. 100; 500 d. 2:1 e. Airlines that try to lower fares in order to increase revenue must believe that the demand for airline service is 42 price inelastic a. 38 Refer to Exhibit 19-3. If price decreases from $5.50 to $4.50, total revenue along the demand curve increases to $67.50. a. increases to $87.50. b. remains at $87.50. C. d. decreases to $67.50. decreases to $27.50. e. 39 Refer to Exhibit 19-3. When price decreases from $5.50 to $4.50, the price elasticity of supply is 0. а. b. 0.1 0.5 C. 1.0 d. 5.0. е. the goods are When the cross elasticity of demand between two goods is 40. negative; substitutes for one another а. negative; complements for one another b. positive; normal goods C. positive; inferior goods d. If price elasticity of demand is 0.5, it follows that a cause a percent decrease in price would 41. percent increase in quantity demanded. 50; 1 а. 0.5; 1 b. 0.5;0.5 C. 100; 500 d. 2:1 e. Airlines that try to lower fares in order to increase revenue must believe that the demand for airline service is 42 price inelastic a.