Supply Is Elastic If

question 62

Multiple Choice

Supply is elastic if

• A)a small percentage change in price results in a large percentage change in quantity supplied.
• B)a large percentage change in price results in a small percentage change in quantity supplied.
• C)a small percentage change in demand results in a large percentage change in quantity supplied.
• D)the good is an inferior good.
• E)the good is a normal good.

---

Definitions:

Finance

The science of managing funds, including the processes of borrowing, investing, saving, and forecasting.

Agency Problem

A conflict of interest arising between principals (such as shareholders) and agents (like company executives) due to differing goals.

Store Locations

The specific physical points where a business operates or has commercial premises.

Market Value

The marketplace's current rate for the buy or sell transactions of assets or services.