If the Percentage Change in the Quantity Demanded of a Good

question 16

Multiple Choice

If the percentage change in the quantity demanded of a good is greater than the percentage change in price, price elasticity of demand is:

• A) elastic.
• B) inelastic.
• C) perfectly inelastic.
• D) perfectly elastic.

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Definitions:

Unidentified Principal

Refers to a situation in agency law where an agent acts on behalf of a principal, but the identity of the principal is not disclosed to the third party.

Actual Authority

The express or implied power granted by a principal to its agent, allowing the agent to perform acts on the principal's behalf, which legally binds the principal with third parties.

Apparent Authority

The appearance or assumption of authority based on the actions, words, or deeds of the principal or because of circumstances the principal created.

Doctrine of Estoppel

A legal principle that prevents a person from asserting something contrary to what is implied by a previous action or statement by them, or by a previous relevant judicial determination.