If the Price of Ice Cream Changes by 30 Percent

question 106

Multiple Choice

If the price of ice cream changes by 30 percent and the quantity demanded changes by 75 percent, what is the absolute value of demand elasticity?

• A) 2.5, so demand is inelastic
• B) 0.4, so demand is inelastic
• C) 0.4, so demand is elastic
• D) 2.5, so demand is elastic

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Definitions:

Pituitary Hormone

Hormones secreted by the pituitary gland, which is located at the base of the brain and plays a crucial role in regulating growth and metabolism, among other functions.

Testosterone

A male hormone secreted by the testes that causes and maintains male secondary sex characteristics.

Sexual Characteristics

Physical or physiological traits associated with male or female species, often related to reproductive functions.

Medulla

The inner section of the kidney.