Suppose That a 20 Percent Increase in Income Increases the Quantity

question 80

Multiple Choice

Suppose that a 20 percent increase in income increases the quantity of good A demanded from 19,200 to 20,800 units.The income elasticity of demand for good A is

• A)2.5.
• B)0.8.
• C)0.4.
• D)1.2.
• E)2.0.

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Definitions:

Eye Contact

The act of looking directly into another person's eyes, which is often used as a means of communication, expression of trust, and engagement during interactions.

Reflective Listening

A communication technique in which one understands and then expresses the content and feeling of a speaker's message back to the speaker.

Open Communication Culture

A workplace environment where all members feel valued and encouraged to express ideas, opinions, and concerns openly and without fear.

Face-to-Face Discussion

A direct conversation between two or more individuals who are physically present, allowing for immediate feedback and non-verbal communication.