Show that a straight supply curve going through the origin has the price elasticity of supply equals

Fantastic news! We've Found the answer you've been seeking!

Question:

Show that a straight supply curve going through the origin has the price elasticity of supply equals to 1 at every point. (Hint: assume a function of P=aQ+b where a>0 and b=0)

Related Book For answer-question

Principles of Geotechnical Engineering

ISBN: 978-1133108665

8th edition

Authors: Braja M.Das

See More Books

Posted Date: Mar 03, 2024 04:06 AM

See More Questions

CANMNMM January of this year. (a) Each item will be held in a record. Describe all the data structures that must refer to these records to implement the required functionality. Describe all the...
Python and most Python libraries are free to download or use, though many users use Python through a paid service. Paid services help IT organizations manage the risks associated with the use of...
KYC's stock price can go up by 15 percent every year, or down by 10 percent. Both outcomes are equally likely. The risk free rate is 5 percent, and the current stock price of KYC is 100. (a) Price a...
Please graphically demonstrate the effects on the level of prices and the value of money if consumers increase their spending due to stock market boom and therefore make more transactions. On the...
How did sub-Saharan Africa's dependence on commodity exports affect its past economic performance?
For the given in Problem 4, recalculate g with the following values of ti: (a) ti = 20 percent. (b) ti = 0. (c) ti = 80 percent. (d) ti = 100 percent. In Problem 4 Calculate the rate of effective...
Juliette Shulof Furs (JSF) was a New York corporation that had been in the fur-dealing business for 15 years. George Shulof, an officer of JSF, attended two auctions conducted by Finnish Fur Sales...
Michael Bolton Company follows the practice of pricing its inventory at the lower-of-cost-or-market, on an individual-item basis. Instructions From the information above, determine the amount of...
Listed below are eight firms that are currently operating in the market. The market share of each firm is listed in the table below. Firm Market Share Bird 16 Cat 11 Dog 8 Horse 4 Pig 5 Cow 10 Tiger...
Risk and Probability Dianne Hospitality is considering the purchase of one of two cooking units, A and B, for its pub in the Lake District region of UK. Each of the units requires an initial...
What is the big oh for the following: for(i=1; p
You are in a spaceship approaching Mars with an approach distance, d = 7.1 x 106 m. and a velocity relative to Mars of 2,670 m/sec. (see illustration below). Is your spaceship going to impact the...
What type of medium would you use if you specifically wanted to determine the nutritional requirements of a specific microbe?
On March 16, 2021, an explosion at Zach Industries caused damage to property in the surrounding area. As at March 31, no claims had been made, though Zach's lawyers deemed it reasonably possible that...
A block of mass 9.0 kg is placed on a surface inclined at 0 = 30 as shown in the figure. If the coefficient of kinetic friction = 0.22, Find the acceleration in the block. Fk W FN
A 115 g of steam is emitted from a volcano at 100 C. How many kJ of heat should be released for the steam to fall as rain at 15 C?
On June 30, 2016, Alpha Corporation issued $200,000 of 10% ten-year bonds at 103 on its semiannual interest date. Alpha uses the straight-line method for amortization. Use this information to...
Consider the function f and its graph. a. Estimate the zeros of the area function b. Estimate the points (if any) at which A has a local maximum or minimum. c. Sketch a graph of A, for 0 x 10,...
Refer to Figure 15.51. Using the soil parameters given in Problem 15.7, find the height of the slope, H, that will have a factor of safety of 2.5 against sliding. Assume that the critical sliding...
The results of two consolidated-drained triaxial tests on a clay are given below: Calculate the shear strength parameters of the soil. Chamber (KN/m2) 105 210 Devlator stress, Specdmen CGAN/m/n2...
Consider the specimen in Problem 12.1b. a. What are the principal stresses at failure? b. What is the inclination of the major principal plane with the horizontal? In problem 12.1b For a normal...
In 2019, Maggy (34 years old) is an employee of YBU Corp. YBU provides a 401(k) plan for all its employees. According to the terms of the plan, YBU contributes 50 cents for every dollar the employee...
Matthew (48 at year-end) develops cutting-edge technology for SV Inc., located in Silicon Valley. In 2019, Matthew participates in SVs money purchase pension plan (a defined contribution plan) and in...
Paris participates in her employers nonqualified deferred compensation plan. For 2019, she is deferring 10 percent of her $320,000 annual salary. Assuming this is her only source of income and her...

Show that a straight supply curve going through the origin has the price elasticity of supply equals

Question:

Expert Answer:

To show that a straight supply curve going through the origin has a price elasticity of sup... View the full answer

Principles of Geotechnical Engineering

Students also viewed these economics questions