A 10% Increase in the Price of Pizza Causes a 10

question 11

Essay

A 10% increase in the price of pizza causes a 10% drop in the quantity of both pizza and beer sold. Describe elasticities and the nature of the two products.

---

Definitions:

Apocrine

A type of gland that secretes substances by breaking off a part of the cell; found in the skin and eyelids.

Compound Acinar

A type of glandular structure in which secretory cells form sac-like acini connected to ducts, found in some exocrine glands such as the pancreas and salivary glands.

Branching Ducts

Part of the ductal system in various glands, branching off to increase the area of influence or secretion within an organ.

Simple Acinar

Pertaining to a type of simple glandular structure in the epithelium that has a single secretory duct and is typically globular in shape.