Ask Question
BusinessBusiness
22 August, 17:12

Each month jessica buys exactly 15 big macs regardless of the price. jessica's price elasticity of demand for big macs is:

+3
Answers (2)
  1. 22 August, 18:38
    0
    Price of elasticity of demand represents the measure of the change in the quantity demanded of a product in relation to its price change. The fact that Jessica buys each month exactly teh same quantity of the roduct (Big Mac) no matter what the price of the product ismeans that Jessica's price elasticity of demand for Big Macs is: 0.

    In this situation the price of the product does not affect the demand.
  2. 22 August, 20:02
    0
    Price elasticity of demand is a measure of the relation between consumer demand for a good and the price for that good. A higher elasticity value means that for each differential change in the price of that good, consumers will buy significantly more or less of the item. However, in this case, the consumer is buying the exact same amount of the product each month, regardless of the price. As such, an economist would say that Jessica's demand for Big Macs is completely inelastic; that is, the value of the price elasticity is zero.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Each month jessica buys exactly 15 big macs regardless of the price. jessica's price elasticity of demand for big macs is: ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Which of the following is NOT a good example of a substitute product that triggers stronger competitive pressures?: Select one: a. Artificial sweetener as a substitute for sugar b. Coca-Cola as a substitute for Pepsi c.
Answers (1)
Recently, a neighbor you have known for years won a lottery and received a $250,000 prize. This neighbor decided to invest all of his winnings in a new business venture that he knew only had a 5 percent chance of success.
Answers (1)
How do sports marketers enhance the perceived value of their commodities?
Answers (1)
On September 1, Ziegler Corporation had 53,000 shares of $5 par value common stock, and $159,000 of retained earnings. On that date, when the market price of the stock is $15 per share, the corporation issues a 2-for-1 stock split.
Answers (1)
Kalyan Corporation uses the FIFO method in its process costing system. Operating data for the Enameling Department for the month of May appear below: Units Percent Complete with Respect to Conversion Beginning work in process inventory 1,800 20 %
Answers (1)
New Questions in Business
Hevesy Inc. produces and sells a single product. The selling price of the product is $200.00 per unit and its variable cost is $80.00 per unit. The fixed expense is $300,000 per month. The break-even in monthly unit sales is closest to: a. 2,500 b.
Answers (1)
There is only one small clothing store in the remote village of hooterville, and until recently all of the townspeople bought most of their shirts there.
Answers (1)
Each unit of a product requires 5 components. The average number of components is 5.50 due to component failure. Purchasing higher quality components can reduce the average number of components to 5 per unit. The cost per component is $450.
Answers (1)
What is Average cost
Answers (1)
FetchFun Inc. is currently an all-equity firm with 20 million shares outstanding and a stock price of $7.50 per share. FetchFun Inc. plans to announce that it will borrow $50 million and use the proceeds to repurchase shares. FetchFun Inc.
Answers (1)
Home » Business » Each month jessica buys exactly 15 big macs regardless of the price. jessica's price elasticity of demand for big macs is:
Sign Up Forgot Password?