For Many Goods, the Price Elasticity of Demand Increases Over

question 439

Multiple Choice

For many goods, the price elasticity of demand increases over time because

• A) people's incomes tend to increase over time.
• B) inflation increases all prices and incomes over time.
• C) the ability to find substitutes for a good whose price has risen increases over time.
• D) None of the above answers is correct.

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Definitions:

Awareness

The ability to perceive, feel, or be conscious of events, objects, or sensory patterns.

Impulse Control

The ability to resist or delay an impulse, drive, or temptation to act, relevant in the context of various psychiatric conditions.

Rationalizes

The process of justifying behaviors or decisions with plausible explanations, often to make them appear reasonable.

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A mental health condition characterized by intense fear of social situations due to perceived judgments by others.