Elasticity measures the behavioral response of economic agents in a given situation. Which question is likely to be answered using elasticity? Group of answer choices If a restaurant puts their pizza on sale, will the additional number of pizzas sold offset the discount on each item? Will their sales revenues for pizza go up or down? Does on-demand Internet streaming media cause more people to stay home? If a business raises its prices, are they utilizing new technology?

Question

Irene Mccoy

Social Studies

21 July, 21:14

Elasticity measures the behavioral response of economic agents in a given situation. Which question is likely to be answered using elasticity? Group of answer choices If a restaurant puts their pizza on sale, will the additional number of pizzas sold offset the discount on each item? Will their sales revenues for pizza go up or down? Does on-demand Internet streaming media cause more people to stay home? If a business raises its prices, are they utilizing new technology?

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Jamir Ward · Answer 1

If a restaurant puts their pizza on sale, will the additional number of pizzas sold offset the discount on each item? Will their sales revenues for pizza go up or down?

Explanation:

Elasticity in economics refers to the idea that a change in one variable will lead to a change in another related variable. For example, if the demand for a good changes as the price varies, the demand it's said to be elastic. In this particular case, whether the number of pizzas sold by a restaurant will go up as the price goes down is a question answered by elasticity.