The "Dynamic Pricing" Model Used by the Ride-Sharing Firm Uber

question 305

Multiple Choice

The "dynamic pricing" model used by the ride-sharing firm Uber, along with a few other firms, illustrates which of the following?

• A) When there is shortage in a market, the equilibrium price will rise.
• B) Once the equilibrium price is reached, it will remain there for at least several days.
• C) Since actual quantity bought always equals actual quantity sold, the market is always at equilibrium.
• D) When there is surplus in a market, the equilibrium price will rise.

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Definitions:

Emotions

Multifaceted mental states that encompass a trio of components: an individual's inner experience, a physical reaction, and a response that is either behavioral or expressive in nature.

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The series of steps by which individuals select, organize, and interpret sensory stimuli into a meaningful and coherent picture of the world.

Attitudes

Attitudes are predisposed responses, either positive or negative, towards ideas, objects, people, or situations, based on personal beliefs, feelings, and experiences.

Emotional Experiences

Intense feelings that arise from one's circumstances, mood, or relationships with others, influencing behavior and perception.