The Price Elasticity of Demand for New Cars Is 1

question 92

Multiple Choice

The price elasticity of demand for new cars is 1.2. Hence, a 10 percent price increase will

• A) decrease the quantity of new cars demanded by 1.2 percent.
• B) increase consumer expenditure on new cars by 1.2 percent.
• C) decrease the quantity of new cars demanded by 12 percent.
• D) increase consumer expenditure on new cars by 12 percent.

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Definitions:

Field Properties Pane

A user interface section in database and form design tools that allows users to set and modify the attributes or properties of a database field.

Required Property

A setting in programming and database fields that indicates a field must have a value before a record can be saved or a form submitted.

Field

A component of a database table that holds individual pieces of data, serving as the smallest unit of data storage, like an email address or ID number, in a structured format.

Short Text

A data type in databases used for fields that contain text or combinations of text and numbers, restricted by a maximum length.