If Supply Decreases and Total Revenue in an Industry Increases

question 30

Multiple Choice

If supply decreases and total revenue in an industry increases,

• A)demand elasticity must be equal to 1.
• B)demand must be horizontal.
• C)demand elasticity must be greater than 1.
• D)we have a perfectly implausible situation.
• E)demand elasticity must be less than 1.

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Definitions:

Local Anesthetic

A type of medication used to temporarily block sensation in a specific area of the body during medical procedures.

Extremely Anxious

Experiencing intense feelings of worry, nervousness, or unease, typically about an imminent event or something with an uncertain outcome.

Spinal Anesthesia

A type of regional anesthesia involving the injection of a local anesthetic near the spinal cord to block pain from a particular area of the body, typically used in lower body surgeries.

Nausea

A feeling of sickness with an inclination to vomit.