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:

Hypothalamus

A small region at the base of the brain responsible for hormone production and regulation of vital bodily functions, including temperature, thirst, hunger, sleep, and emotional activity.

Pituitary

A small, pea-sized gland located at the base of the brain, often termed the "master gland" because it secretes hormones that regulate other glands and many body functions including growth, reproduction, and metabolism.

Medial Forebrain Bundle

A neural pathway in the brain involved in the regulation of reward, pleasure, and addiction.

Brainstem Structures

The lower part of the brain that connects the cerebrum with the spinal cord and controls basic life functions such as breathing.