Suppose That a 1% Decrease in the Price of a Good

question 58

Multiple Choice

Suppose that a 1% decrease in the price of a good results in a 5% decrease in the quantity supplied.Supply would be categorized as being

• A) perfectly inelastic.
• B) perfectly elastic.
• C) inelastic.
• D) elastic.
• E) unitary elastic.

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Definitions:

Butte

An isolated, steep-sided feature that rises above the surrounding landscape.

Angular Fragments

Pieces of rock or mineral that have sharp edges and pointy corners, typically resulting from mechanical weathering processes.

Tilted Rocks

Rocks that have been moved from their original horizontal position to a slanted orientation, typically as a result of tectonic forces.

Angular Fragments

Sharp-edged pieces of rock or mineral that have not been significantly worn down by erosion, indicating little transport from their source.