Economists have estimated that the demand for oranges is inelastic. So if a frost in Florida decreases

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Economists have estimated that the demand for oranges is inelastic. So if a frost in Florida decreases the orange harvest and decreases the equilibrium quantity of oranges by 1 percent, the price of oranges will rise by more than 1 percent.

Because the price rises by a larger percentage than the percentage decrease in quantity, total revenue increases.

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Foundations Of Microeconomics

ISBN: 9780134491981

8th Edition

Authors: Robin Bade, Michael Parkin

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Question Posted: Nov 08, 2024 07:01 AM

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Economists have estimated that the demand for oranges is inelastic. So if a frost in Florida decreases

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Foundations Of Microeconomics

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