"The Department of Agriculture Came Out Today with Its Prediction

question 283

Multiple Choice

"The Department of Agriculture came out today with its prediction for food price next year-4 to 5 percent increases on top of this year's already steep gains… Eggs, dairy products and cereals are up 10 percent... But the USDA says another big part of the American diet has seen only moderate price increases. Beef, poultry and pork will be up only 3 percent this year." If Raul's demand for dairy products is unit elastic, his expenditure on dairy will

• A) not change.
• B) increase less than 10 percent.
• C) decrease by 10 percent.
• D) increase by 10 percent.

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Definitions:

Big Five

A model in psychology that outlines five major dimensions of human personality traits: Openness, Conscientiousness, Extraversion, Agreeableness, and Neuroticism.

Emotional Stability

A personality trait characterized by the consistency of one's emotional state and a low propensity to experience negative emotions under stress.

Openness

A quality of being willing to consider new ideas, experiences, and information without prejudice.

Extended Family

A family structure that goes beyond the nuclear family to include other relatives such as grandparents, aunts, uncles, and cousins.