--%>
Assignment Help - homework help

Income elasticity of demand when national income rises

When diamond sales jump from 3 to 13 million carats yearly while a strong recovery increases national income from $12.0 trillion to $13.2 trillion, in that case the income elasticity of demand for diamonds is: (1) 0.76. (2) 1.52. (3) 3.04. (4) 6.07. (5) 13.125

Please choose the right answer from above...I want your suggestion for the same.

   Related Questions in Microeconomics

  • Q : Farm employment Over the past several

    Over the past several decades, farm employment has: A) grown absolutely, but declined as a percentage of total employment. B) declined both absolutely and as a percentage of total employment. C) increased both absolutely and as a percentage of total employment. D) dec

    		•
  • Q : Problem on Long-Run Adjustments Since

    Since longer time intervals are considered, the quantities demanded for most goods become __________ to any modification in price. (1) Directly related. (2) Less responsive. (3) Less enamored. (4) Indifferent. (5) More responsive.Find out the right answer from t

    		•
  • Q : Profit-maximizing pure competitor in

    For a profit-maximizing pure competitor in the short-run equilibrium: (w) P = MC = MR. (x) MC = minimum AC. (y) MR > P. (z) only normal profits will be earned. Hey friends please give your opini

    		•
  • Q : Examples of command economies Give the

    Give the answer of following question .Tell examples of command economies: A) the United States and Japan. B) Sweden and Norway. C) Mexico and Brazil. D) Cuba and North Korea.

    		•
  • Q : Diminishing in demand problem When the

    When the equilibrium in the figure shown below move from point a to point b, a reduction in demand is experienced merely in the market illustrated in: (1) Panel A. (2) Panel B. (3) Panel C. (4) Panel D.

    Q : Average production cost by maximum

    When Nostalgia Corporation maximizes profit in its production of Silver Screen DVDs, in that case its average production cost per DVD will be roughly: (i) $3 per copy. (ii) $5 per copy. (iii) $7 per copy. (iv) $9 per copy. (v) $11 per copy.

  • Q : Purchasing power of a consumers income

    The modification in purchases which results since changes in relative prices modify the purchasing power of a consumer's income is termed as: (i) Adjustment margin. (ii) Income effect. (iii) Demonstration effect. (iv) Transfer pattern. (v) Replacement

    		•
  • Q : Time Estimates for Individual

    Time Estimates for Individual Activities: A) Weighted Average Activity Time, t =  (a + 4m + b)/6B) Standard deviation of activity times, σt = (b-a)/6C) Standard d

    		•
  • Q : Problem regarding marginal factor cost

    In equilibrium for any of profit-maximizing firm, marginal revenue product of the labor: (i) Is equivalent to the change in net revenue related with selling an extra unit of output. (ii) Surpasses the wage rate by maximum possible. (iii) Equivalents marginal factor co

    		•
  • Q : Define Economics Briefly describe the

    Briefly describe the term economics?

    		•