question archive Suppose the price of apples fell from $96 a crate to $64 a crate
Suppose the price of apples fell from $96 a crate to $64 a crate
Subject:EconomicsPrice:2.88 Bought3
Suppose the price of apples fell from $96 a crate to $64 a crate. A typical apple farmer supplies 1200 crates a day at $96 a crate. But at $64 a crate, he would supply 400 crates a day.
The supply of apples is ......
A. Elastic
B. Unit elastic
C. Inelastic
D. Increasing
E. Decreasing
Everything else remaining the same, production possibilities ...... the price elasticity of apples. Storage possibilities ........... the price of supply of apples.
A. Increase; decrease
B. Increase; increase
C. Decrease; decrease
D. Decrease; increase
E. Do not change; do not change
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The supply of apples is elastic.
Everything else remaining the same, production possibilities do not change the price elasticity of apples. Storage possibilities do not change the price of supply of apples.
