Price Rises from $10 to $12,and the Quantity Demanded Falls

question 188

Multiple Choice

Price rises from $10 to $12,and the quantity demanded falls from 200 units to 100 units.What is the price elasticity of demand between these two prices?

• A) 0.18
• B) 3.67
• C) 1.86
• D) 0.27

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Definitions:

Hobbes

Refers to Thomas Hobbes, a 17th-century English philosopher known for his work on political philosophy and his social contract theory, as outlined in his book "Leviathan."

Locke

Refers to John Locke, a 17th-century English philosopher known for his work in political philosophy, particularly regarding the development of liberalism.

Montesquieu

A French political philosopher of the Enlightenment period, best known for his theory of separation of powers, which has been incorporated into many constitutions around the world.

Charles Beard

An influential American historian who proposed that the U.S. Constitution was a product of economically motivated interests.