A peck is 1/4 of a bushel.If the price elasticity of demand for peas is -0.10 when peas are measured in bushels, then when peas are measured in pecks, the price elasticity of demand for peas will be

A) -0.10.
B) -0.40.
C) -0.03.
D) -0.20.
E) none of the above.

Question

Michael Douglas · Accepted Answer

Final Answer : A, Explanation :  Price elasticity of demand is a unit-free measure, meaning it does not depend on the units in which quantity is measured. Therefore, the elasticity remains the same regardless of whether peas are measured in bushels or pecks.

A peck is 1/4 of a bushel.If the price elasticity of demand for peas is -0.10 when peas are measured in bushels, then when peas are measured in pecks, the price elasticity of demand for peas will be

A) -0.10.
B) -0.40.
C) -0.03.
D) -0.20.
E) none of the above.

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A peck is 1/4 of a bushel.If the price elasticity of demand for peas is -0.10 when peas are measured in bushels, then when peas are measured in pecks, the price elasticity of demand for peas will beA) -0.10.B) -0.40.C) -0.03.D) -0.20.E) none of the above.

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Learning Objectives

Learning Objectives

Related questions

A peck is 1/4 of a bushel.If the price elasticity of demand for peas is -0.10 when peas are measured in bushels, then when peas are measured in pecks, the price elasticity of demand for peas will be

A) -0.10.
B) -0.40.
C) -0.03.
D) -0.20.
E) none of the above.