the following questions The price elasticity of demand for beef is estimated to be 0.60 (in absolute value). This means that a 20 percent increase in the price of beef, holding everything else constant, will cause the quantity of beef demanded to Group of answer choices decrease by 26 percent. decrease by 12 percent. decrease by 32 percent. decrease by 60 percent. Flag question: Question 2 Question 20.5 pts When the price of tortilla chips rose by 10 percent, the quantity of tortilla chips sold fell 4 percent. This indicates that the demand for tortilla chips is Group of answer choices unit elastic. inelastic. perfectly inelastic. elastic. Flag question: Question 3 Question 30.5 pts Perfectly inelastic demand is represented by a demand curve which is ________, and relatively inelastic demand is represented by a demand curve which is ________. Group of answer choices horizontal; downward sloping downward sloping; vertical vertical; downward sloping upward sloping; horizontal Flag question: Question 4 Question 40.5 pts The most important determinant of the price elasticity of demand for a good is Group of answer choices the availability of substitutes for the good. the definition of the market for a good. the share of the good in the consumer's budget. whether the good is a necessity or a luxury. Flag question: Question 5 Question 50.5 pts If a private school believes that raising tuition will increase total revenue, it is assuming that the demand for attending the school is Group of answer choices elastic. inelastic. unit elastic. perfectly elastic. Flag question: Question 6 Question 60.5 pts Along a downward-sloping, linear demand curve, as price increases, demand becomes Group of answer choices more inelastic. more elastic. more unit elastic. perfectly inelastic. Flag question: Question 7 Question 70.5 pts If the cross-price elasticity of demand for two goods is positive, this implies that the two goods are Group of answer choices inferior. normal. complements. substitutes. Flag question: Question 8 Question 80.5 pts Studies show that the income elasticity of demand for Ramen noodles is -0.44. What does this mean? Group of answer choices A 1 percent decrease in the price of Ramen noodles leads to a 0.44 percent increase in Ramen noodle consumption. A 1 percent increase in income leads to a 0.44 percent decrease in Ramen noodle consumption. Ramen noodles are a relatively inelastic good. A 1 percent increase in income leads to a 0.44 percent increase in Ramen noodle consumption. Flag question: Question 9 Question 90.5 pts Over longer periods of time, increases in oil prices provide firms with incentives to explore and recover oil. What does this indicate about the long-run price elasticity of supply for oil? Group of answer choices The elasticity value is likely to be higher in the long run than in the short run. The elasticity value is unstable in the long run because oil supplies may be depleted. The elasticity value is likely to be lower in the long run than in the short run. The elasticity value approaches 0 in the long run as supplies are depleted. Flag question: Question 10 Question 100.5 pts Suppose the government implements a tax on a product where the absolute value of the elasticity of demand is 0.6 and the elasticity of supply is 1.8. Who will pay the greater proportion of the tax? Group of answer choices It depends whether the government levies the tax on consumers or on producers. Consumers Consumers and producers will share the tax equally. Producers