If the Price of Gasoline Increased by 5 % and Consumers

question 103

Multiple Choice

If the price of gasoline increased by 5 % and consumers responded by purchasing 1 % less gasoline, the absolute value of price elasticity of demand for gasoline would equal

• A) 0.1.
• B) 0.5.
• C) 1.5.
• D) 0.2.

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Definitions:

Successful European Settlements

Colonies or communities in new lands that were established by Europeans and thrived economically and socially.

Elective Office

A public office filled through elections, wherein candidates are chosen by voters to occupy a governmental position.

Seventeenth-Century Chesapeake

Relates to the region around the Chesapeake Bay in the 1600s, significant for its early English settlements and tobacco cultivation.

Substantial Property

Significant assets or real estate owned by an individual or entity.