A Government Wants to Reduce Electricity Consumption by 10

question 135

Multiple Choice

A government wants to reduce electricity consumption by 10%. The price elasticity of demand for electricity is -5. The government must ________ the price of electricity by ________.

• A) raise; 2.0%
• B) raise; 0.5%
• C) raise; 1.25%
• D) lower; 0.5%

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Definitions:

Indirect Approach

A method of communication or problem-solving that is not straightforward, instead using suggestions, implications, or other roundabout ways to convey a message.

We-viewpoint

A perspective in communication or writing that emphasizes collective action or observation, typically using pronouns like "we" and "us."

Goodwill

An intangible asset representing the value of a business's reputation, brand, and ongoing customer relationships, often considered in financial valuations or mergers and acquisitions.

De-emphasizes

To reduce the importance, stress, or prominence of a particular element or aspects in a discussion, presentation, or piece of writing.