Consider the D0 and D1 demand curves in the diagram below. Defining the price elasticity of demand as a positive number, which of the statements below is correct?

(A) At point A, the price elasticity of D0 is larger than the price elasticity of D1; along D0, the price elasticity of demand in point A is equal to the price elasticity of demand in point B.

(B) At point A, the price elasticity of D0 is smaller than the price elasticity of D1; along D0, the price elasticity of demand in point A is equal to the price elasticity of demand in point B.

(C) At point A, the price elasticity of D0 is equal to the price elasticity of D1; along D0, the price elasticity of demand at point A is equal to the price elasticity of demand at point B.

(D) At point A, the price elasticity of D0 is smaller than the price elasticity of D1; along D0, the price elasticity of demand at point A is larger than the price elasticity of demand at point B.

(E) At point A, the price elasticity of D0 is larger than the price elasticity of D1; along D0, the price elasticity of demand at point A is larger than the price elasticity of demand at point B.

In the figure below, what is the interval elasticity of demand over the price range $60 to $80? X P 50 A TR 10.500 4-20 Price [in dollars) Total revenue (in dollars) 40 4.500 Total Revenue Demand T 10 1,000 0 100 700 Quantity23. Consider the Do and D, demand curves in the diagram below. Defining the price elasticity of demand as a positive number, which of the statements below is correct? P . A D, Do (A) At point A, the price elasticity of Do is larger than the price elasticity of Di: along Do, the price elasticity of demand in point A is equal to the price clasticity of demand in point B. (B) At point A, the price elasticity of Do is smaller than the price elasticity of Di; along Do, the price elasticity of demand in point A is equal to the price elasticity of demand in point B. (C) At point A, the price elasticity of Do is equal to the price elasticity of Di; along Do, the price clasticity of demand at point A is equal to the price elasticity of demand at point B. (D) At point A, the price elasticity of Do is smaller than the price elasticity of Di; along Do, the price clasticity of demand at point A is larger than the price elasticity of demand at point B. (E) At point A, the price elasticity of Do is larger than the price elasticity of Di: along Do, the price elasticity of demand at point A is larger than the price elasticity of demand at point B.This Question: 4 pts 19 of 33 (19 complete) This Test IE Qu If the inverse demand function is p = 50 - 0.50. what is the price elasticity of demand and revenue at Q = 727 The price elasticity of demand is e= [. (Enter your response rounded to three decimal places and include a minus sign.) Revenue (R) is R= $ ]. (Enter your response as a whole number.) Enter your answer in each of the answer boxes. =-$764 (it is loss) Comment 3 22 esc2- The equation for a demand curve is P = 2/Q. Inverse Demand Curve Demand Curve a. What is the elasticity of demand as price falls from 5 to 4? P =2/Q Q=2/P b. What is the elasticity of demand as the price falls from 9 to 8? P Q P C. Would you expect these answers to be the same? Explain. 2.00 1 1 2.00 Solution: 1.00 2 2 1.00 0.67 3 3 0.67 0.50 4 4 0.50 0.40 5 5 0.40 0.33 6 6 0.33 0.29 7 7 0.29 83- The equation for a supply curve is P = 3 Q - 8. This is to help you visualiz What is the elasticity in moving from a price of 4 to a price of 7? Solution: Inverse Supply Curve P =30-8 P 1.00 3 4.00 4 7.00 5 10.00 13.00 16.00 19.00 9 Supply Curve Q =(P +8)/3 P Q 3.00 3.67 4.33 5.00 5.67 11 6.33 13 7.00