Which of the Following Is Likely to Have the Most

question 166

Multiple Choice

Which of the following is likely to have the most price inelastic demand?

• A)chocolate
• B)Godiva chocolate
• C)Hershey's chocolate
• D)All three would have the same elasticity of demand because they are all related.

---

Definitions:

NAFTA

The North American Free Trade Agreement, a treaty between Canada, Mexico, and the United States that established a trilateral trade bloc in North America.

GATT

The General Agreement on Tariffs and Trade, a legal agreement between countries to promote international trade by reducing or eliminating trade barriers such as tariffs and quotas.

FTAA

The Free Trade Area of the Americas, a proposed agreement to eliminate or reduce trade barriers among all countries in the Americas, excluding Cuba.

Knowledge

The facts, information, and skills acquired through experience or education; the theoretical or practical understanding of a subject.