If Income Increases by 2

question 513

Multiple Choice

If income increases by 2.0 percent, and quantity demanded of a good increases by 0.2 percent, the income elasticity for the good is

• A) 0.22.
• B) 0.002.
• C) 0.10.
• D) 1.00.

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Definitions:

Inner Conflict

A psychological struggle within oneself arising from opposing demands or impulses.

Self-Help Groups

Peer-led groups where members support each other in solving personal problems or improving their situation.

Mutual Support

The act of providing reciprocal emotional, social, or practical help to each other in a group or between individuals.

Common Problem

An issue or challenge that is frequently encountered by a considerable number of people.