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For a Particular Good, a 12 Percent Increase in Price

question 172

Multiple Choice

For a particular good, a 12 percent increase in price causes a 3 percent decrease in quantity demanded. Which of the following statements is most likely applicable to this good?


Definitions:

Hypothesis

A proposed explanation for a phenomenon, made as a starting point for further investigation.

Principle of Falsifiability

A concept in the philosophy of science that asserts a hypothesis or theory should be testable and potentially disprovable by experimentation or observation.

Scientific Objectivity

The principle of conducting research and experimentation without letting personal biases or preferences influence the outcomes.

Misuse of Statistics

The manipulation or misinterpretation of statistical data to mislead or support a biased conclusion.

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