Suppose the Income Elasticity of Demand for Used Jet Skis

question 47

Multiple Choice

Suppose the income elasticity of demand for used jet skis is 3.5.If the level of income decreases by 1 percent,the number of used jet skis sold will,ceteris paribus,

• A)Rise by 0.29 percent.
• B)Rise by 3.5 percent.
• C)Fall by 0.29 percent.
• D)Fall by 3.5 percent.

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Definitions:

Evolution

The process through which different kinds of living organisms are believed to have developed from earlier forms during the history of the earth.

Environmental Degradation

The deterioration of the environment through depletion of resources, destruction of ecosystems, and extinction of wildlife.

Global Warming

The ongoing rise in the average temperature of the Earth's climate system, largely due to the greenhouse gas emissions from human activities.

Industrial Pollution

Contaminants released into the environment as a result of manufacturing, processing, and using various goods, often harming ecosystems and human health.