The price of a bus ride decreases, but the total revenue of the bus company does not change. The demand for bus rides is _____________________.

elastic
perfectly inelastic
unit elastic
inelastic

Marvin loves chocolate truffles. As the price of a chocolate truffle increases from $1 to $2 to $3, Marvin continues to buy a dozen chocolate truffles every week. Marvin's demand for chocolate truffles is _______________.

perfectly inelastic
illustrated by a horizontal demand curve
unit elastic
elastic

Dan sells newspapers. Dan says that a 10 percent increase in the price of a newspaper will decrease the quantity of newspapers demanded by 8 percent. According to Dan, the demand for newspapers is ______________.

inelastic
perfectly elastic
elastic
unit elastic

When demand is __________, a decrease in price _____________ total revenue.

elastic; increases
elastic; decreases
unit elastic; increases
inelastic; increases

Webster Dictionaries and Oxford Dictionaries are almost perfect substitutes. The price elasticity of demand for Webster Dictionaries ____________________.

is almost infinity
depends on the complements for dictionaries
is almost zero
is 1

Blue pens and black pens are close substitutes. The cross elasticity of demand for black pens with respect to the price of blue pens is ________________.

positive
equal to 1
zero
negative

If the cross elasticity of demand between goods X and Y is positive and between goods X and Z is negative, then X and Y are ______________ and X and Z are ________________.

substitutes; complements
price inelastic; income elastic
price inelastic; complements
complements; substitutes

Of the following goods, the North American demand for ______________ has the largest income elasticity of demand.

Mediterranean cruises
newspapers
compact cars
rice

As Mary's income increases by 20 percent, her demand for tickets to National Hockey League games increases by 10 percent. Mary's demand for tickets is _______; for Mary, hockey tickets are __________ good.

inelastic; a normal
inelastic; an inferior
elastic; a normal
elastic; an inferior

The supply of lettuce in the short run will be ___________ than the supply in the long run and ______________ than the supply today.

less elastic; more elastic
less elastic; less elastic
more elastic; more elastic
more elastic; less elastic

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