Which of the Following Statements Regarding Price Elasticity Is False

question 29

Multiple Choice

Which of the following statements regarding price elasticity is false?

• A) The concept of price elasticity is an extension of the economic pricing model.
• B) Demand is elastic if a price change has a large negative impact on sales volume.
• C) Demand is elastic if price changes have no impact on sales volume.
• D) Measuring price elasticity is an important objective of market research.
• E) Demand is relatively inelastic if price changes have little impact on sales quantity.

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Definitions:

Id

In psychoanalytic theory, the part of the mind that is responsible for the instinctual impulses and demands for immediate satisfaction of basic needs.

Impulses

Sudden, involuntary inclinations to act without premeditation, often driven by internal or external stimuli.

Sullivan's Theory

A psychological theory developed by Harry Stack Sullivan that emphasizes the importance of interpersonal relationships and the social aspects of psychiatric disorders.

Interpersonal Skills

Abilities used to interact effectively with other people, including communication, empathy, and conflict resolution.