If a Bakery Raises the Price of Its Bread by 11

question 31

Multiple Choice

If a bakery raises the price of its bread by 11 per cent and the quantity demanded decreases by 11 per cent, then the demand for its bread is ________ and the bakery's total revenue ________.

• A) unit elastic; increases
• B) elastic; does not change
• C) unit elastic; decreases
• D) unit elastic; does not change
• E) inelastic; does not change

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Definitions:

Evolutionary

Pertaining to evolution, involving the gradual development of organisms and the theory explaining the diversity of life on Earth through natural selection.

Conservation Biology

Discipline that seeks to understand the effects of human activities on species, communities, and ecosystems, and to develop practical approaches to preventing the extinction of species and the destruction of ecosystems.

Edge Effects

The changes in population or community structures that occur at the boundary of two or more habitats, often affecting biodiversity and ecological dynamics.

Diversity

The presence of a wide range of variation in qualities or attributes within a group or environment.