Summary (Grade 11 NSC Matric Economics): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
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Practise the questions
10 questions from this quiz
What does price elasticity measure?
What does price elasticity measure?
Sensitivity of quantity to price changes
What is the elasticity coefficient for perfectly price inelastic demand?
What is the elasticity coefficient for perfectly price inelastic demand?
Which products are examples of price inelastic demand?
Which products are examples of price inelastic demand?
Cigarettes and alcohol
What happens to total revenue with unitary elastic demand when prices change?
What happens to total revenue with unitary elastic demand when prices change?
Total revenue remains constant
If a 10% price drop causes a 15% quantity increase, what is ?
If a 10% price drop causes a 15% quantity increase, what is ?
(elastic demand)
What shape is the demand curve for perfectly price elastic demand?
What shape is the demand curve for perfectly price elastic demand?
Horizontal
Which example demonstrates perfectly price inelastic supply?
Which example demonstrates perfectly price inelastic supply?
Rock concert tickets (fixed venue size)
Why does the fruit industry show price inelastic supply?
Why does the fruit industry show price inelastic supply?
Growing fruit requires time
What does a steep demand curve indicate about elasticity?
What does a steep demand curve indicate about elasticity?
Inelastic demand (coefficient < 1)
Why can governments successfully tax cigarettes and alcohol?
Why can governments successfully tax cigarettes and alcohol?
Inelastic demand means buying continues