If the Value of the Price Elasticity of Demand Is

question 27

Multiple Choice

If the value of the price elasticity of demand is 0.2, this means that:

• A) a 20 percent decrease in price causes a 1 percent increase in quantity demanded.
• B) a 0.2 percent decrease in price causes a 1 percent increase in quantity demanded.
• C) a 5 percent decrease in price causes a 1 percent increase in quantity demanded.
• D) a 0.2 percent decrease in price causes a 0.2 percent increase in quantity demanded.

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Definitions:

Descartes's Views

Philosophical opinions of Descartes that emphasize doubt as the basis for certainty and the dualism of mind and body as foundational to understanding existence.

Spinoza's Views

The philosophical perspectives of Baruch Spinoza, which include the monist idea that everything is one substance, often identified with God, and the ethical importance of living a life of rationality and self-control.

Ontologies

In philosophy, it refers to the study of being and existence, including the categorization of entities and their relationships within a hierarchy.

Pre-Socratics

Early Greek philosophers before Socrates, who primarily focused on cosmology, the nature of the universe and the origin of life.