If a $100 Drop in the Price of a $10,000

question 152

Multiple Choice

If a $100 drop in the price of a $10,000 car resulted in an increase in the quantity of cars purchased from 100 to 110 and a $100 drop in the price of a $1,000 vacation rental resulted in an increase in the quantity of weekly vacation homes rented from 100 to 110, the price elasticity of demand is:

• A) greater for the car.
• B) less for the car.
• C) the same for both the car and the vacation rental.
• D) not comparable.

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Definitions:

Children and Families

A term that broadly refers to the unit of kids and their relatives, emphasizing the dynamics and relationships within this social group.

Children's Defense Fund

An organization that advocates for policies and programs to ensure children's well-being, focusing on those in disadvantaged situations.

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Infants born into families with earnings below the nationally defined poverty threshold.

Development

The process of growth or advancement, often involving physical, emotional, or intellectual improvements.