Suppose That When the Price of Wheat Is $2 Per

question 182

Multiple Choice

Suppose that when the price of wheat is $2 per bushel,farmers can sell 10 million bushels.When the price of wheat is $3 per bushel,farmers can sell 8 million bushels.Which of the following statements is true? The demand for wheat is

• A)income inelastic,so an increase in the price of wheat will increase the total revenue of wheat farmers.
• B)income elastic,so an increase in the price of wheat will increase the total revenue of wheat farmers.
• C)price inelastic,so an increase in the price of wheat will increase the total revenue of wheat farmers.
• D)price elastic,so an increase in the price of wheat will increase the total revenue of wheat farmers.

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Definitions:

Correlation

A measure that indicates the extent to which two or more variables fluctuate together, revealing whether and how strongly pairs of variables are related.

Inches

A unit of length in the imperial and United States customary systems, equivalent to 1/12 of a foot.

Centimeters

A unit of length in the metric system, equal to one hundredth of a meter.

Calories

Units of energy measurement used to quantify the amount of energy provided by foods and beverages.