If the Price Elasticity of Demand Is 4 Than

question 9

Multiple Choice

If the price elasticity of demand is 4 than

• A)A 1 percent change in the good's price will cause a 4 percent decrease in the quantity demanded of the good.
• B)A 1 percent change in the good's price will cause a 4 percent increase in the quantity demanded of the good.
• C)A 10 percent change in the good's price will cause a 4 percent decrease in the quantity demanded of the good
• D)A 10 percent change in the good's price will cause a 4 percent increase in the quantity demanded of the good.

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Definitions:

Minimax Strategy

In relating to others, we try to minimise the costs and maximise the rewards that accrue.

Maternal Deprivation

A theory that suggests the lack of an attachment figure, especially a mother, during childhood, can lead to long-term cognitive, social, and emotional difficulties.

Spitz

The name of a psychologist, René Spitz, known for his research on the effects of deprivation of emotional nurturance on infants.

Social Deficiencies

Lacks or shortcomings in one's ability to perform in social settings or maintain successful social relationships.