Price P 0 O Using the letters shown in the following illustrations: A Q Midpoint ED=1...

  

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Price P 0 O Using the letters shown in the following illustrations: A Q₁ Midpoint ED=1 D Price P3 e B Midpoint E₁ = 1 Quantity Quantity (a) In panel A if the price falls from P₁ to Po what will be the value of total revenue (example: (a + b) or (b+ c) or (a + c) etc.) (b) In panel A if the price is P1 what is the quantity demanded (c) In panel B if the price was to fall from P3 to P2 what would total revenue be? (d) Does the equilibrium P3 Q3 in panel B occur in the elastic or inelastic portion of the demand curve? Price P 0 O Using the letters shown in the following illustrations: A Q₁ Midpoint ED=1 D Price P3 e B Midpoint E₁ = 1 Quantity Quantity (a) In panel A if the price falls from P₁ to Po what will be the value of total revenue (example: (a + b) or (b+ c) or (a + c) etc.) (b) In panel A if the price is P1 what is the quantity demanded (c) In panel B if the price was to fall from P3 to P2 what would total revenue be? (d) Does the equilibrium P3 Q3 in panel B occur in the elastic or inelastic portion of the demand curve?

Answer rating: 100% (QA)

Lets address each part of the question based on the provided graphs in panels A and B a In panel A if the price falls from P1 to P0 what will be the v... View the full answer