Use the Following to Answer Questions

question 196

Multiple Choice

Use the following to answer questions:
Figure: The Demand Curve for Oil
-(Figure: The Demand Curve for Oil) Look at the figure The Demand Curve for Oil. The price elasticity of demand between $20 and $21 is _____, since the price elasticity is _____.

• A) price-elastic; less than 1.
• B) price unit-elastic; equal to 1.
• C) price-elastic; a negative number.
• D) price-inelastic; less than 1.

---

Definitions:

Curve Shift

A change in the position of a graph curve, indicating a change in the relationship between two variables in economics, like supply or demand shifts.

Movement Along

Refers to the movement along a demand or supply curve, representing a change in the quantity demanded or supplied in response to a change in price.

Time-Series Graph

A Time-Series Graph displays data points at successive time intervals, often used to visualize trends over time.

Scatterplot

A type of graph used in statistics to visually display and compare two variables for a set of data.