The Elasticity of Demand Measures

question 247

Multiple Choice

The elasticity of demand measures:

• A) the height of the demand curve.
• B) how sensitive the quantity demanded is to a change in price.
• C) how sensitive the price is to a change in demand.
• D) the extent to which demand shifts in response to supply changes.

---

Definitions:

Underestimate

To judge something to be smaller or less important than it actually is.

Overestimate

To assess something as greater, more important, or more significant than it actually is.

Attractive

Having qualities that appeal to a sensory or aesthetic perception, often leading to a positive reaction from others.

Gain Weight

The process of increasing body mass, typically by accumulating fat or muscle mass.