An Increase in Price

question 42

Multiple Choice

An increase in price:

• A) cannot cause a quantity effect.
• B) always increases revenue due to the price effect.
• C) may increase or decrease revenue.
• D) always decreases revenue due to the quantity effect.

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Definitions:

Adjust

To change or modify something in order to achieve a desired result or fit a new situation.

Lasting Change

Enduring or permanent transformation in habits, behaviors, or circumstances that remains over time.

Track

A path or course laid out for running or racing, or the act of following or monitoring progress or developments.

Discard

To throw away or remove something unnecessary or unwanted.