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Price 60 80 S 60 60 D 100 Quantity When this market is in equilibrium: (i) demand is elastic. supply is elastic. (iii) supply is inelastic. (iv) the absolute elasticity of demand is greater than that of supply. O A. Only (iii) and (iv) are correct. B. Only (i), (iii) and (iv) are correct. OC. Only (i) and (iv) are correct. O D. Only (i), (ii) and (iv) are correct. O E. Only (iii) is correct.

Price 60 80 S 60 60 D 100 Quantity When this market is in equilibrium: (i) demand is elastic. supply is elastic. (iii) supply is inelastic. (iv) the absolute elasticity of demand is greater than that of supply. O A. Only (iii) and (iv) are correct. B. Only (i), (iii) and (iv) are correct. OC. Only (i) and (iv) are correct. O D. Only (i), (ii) and (iv) are correct. O E. Only (iii) is correct.

Essentials of Economics (MindTap Course List)
Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter5: Elastic And Its Application
Section: Chapter Questions
Problem 2PA
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Price 80 60 S D 100 Quantity 0 When this market is in equilibrium: demand is elastic. 306 supply is elastic. (iii) (iv) supply is inelastic. the absolute elasticity of demand is greater than that of supply. O A. Only (iii) and (iv) are correct. O B. Only (i), (iii) and (iv) are correct. C. Only (i) and (iv) are correct. ○ D. Only (i), (ii) and (iv) are correct. OE. Only (iii) is correct.
Transcribed Image Text:Price 80 60 S D 100 Quantity 0 When this market is in equilibrium: demand is elastic. 306 supply is elastic. (iii) (iv) supply is inelastic. the absolute elasticity of demand is greater than that of supply. O A. Only (iii) and (iv) are correct. O B. Only (i), (iii) and (iv) are correct. C. Only (i) and (iv) are correct. ○ D. Only (i), (ii) and (iv) are correct. OE. Only (iii) is correct.
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