If the Price Elasticity of Demand for a Good Is

question 229

Multiple Choice

If the price elasticity of demand for a good is 0.4,then which of the following events is consistent with a 2 percent decrease in the quantity of the good demanded?

• A)a 0.8 percent increase in the price of the good
• B)a 2.4 percent increase in the price of the good
• C)a 5 percent increase in the price of the good
• D)a 8 percent increase in the price of the good

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Definitions:

Physical Characteristics

Refer to the observable bodily traits of an individual, such as height, eye color, muscle composition, and facial features.

Spatial Closeness

The physical proximity or nearness of objects or individuals to one another, which can influence social interactions and relationships.

Interchangeable

Capable of being used or substituted in place of each other without significant difference or loss of function.

Paradox Of Close Relationships

The phenomenon where close relationships, which are sources of immense joy, can also be sources of significant stress and disappointment.