If Marijuana Were Legalized, It Is Likely That There Would

question 163

Multiple Choice

If marijuana were legalized, it is likely that there would be an increase in the demand for marijuana. If demand for marijuana is inelastic and the supply of marijuana is perfectly elastic, this will result in

• A)higher prices and higher total revenue from marijuana sales.
• B)higher prices but lower total revenue from marijuana sales.
• C)the same price and higher total revenue from marijuana sales.
• D)the same price but lower total revenue from marijuana sales.

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Definitions:

Perceived Risk

The potential for loss or harm that consumers feel may exist when deciding to purchase a product or service.

Actual Performance

The real, measured outcomes or results of an activity, process, or product, as opposed to expectations or projections.

Business-To-Business Marketing

Marketing strategies and tactics directed towards other businesses rather than to individual consumers.

Competitive Bidding

A procurement process where multiple providers submit bids to win a contract, primarily based on price and quality.