If the Price Elasticity of Supply Is 0

question 9

Multiple Choice

If the price elasticity of supply is 0.5, a 10 percent increase in price will cause a:

• A) 5 percent increase in quantity supplied.
• B) 5 percent decrease in quantity supplied.
• C) 20 percent increase in quantity supplied.
• D) 20 percent decrease in quantity supplied.

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Definitions:

Growth Needs

Refer to the psychological needs that foster personal development and growth, as featured in models like Maslow's hierarchy of needs.

Need for Power

The need for power is a psychological drive that motivates individuals to seek control or influence over others or situations.

Influence

The ability to impact the personality, growth, or actions of an individual or entity, or the impact in question.

Herzberg's Two-factor Theory

A theory of motivation proposing that employee satisfaction and dissatisfaction are influenced by two independent sets of factors: hygiene factors and motivators.