A Poultry Rancher Discovered That When She Increased the Price

question 210

Multiple Choice

A poultry rancher discovered that when she increased the price of organic eggs from $0.75 to $1.00 per dozen, the sales of her eggs fell from 300 dozen per week to 200 dozen per week. Her price elasticity of demand (using the midpoint method) would be

• A) 2.60.
• B) 1.40.
• C) 0.75.
• D) 1.00.

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Definitions:

Inferiority Complex

A psychological condition stemming from persistent feelings of inadequacy and a lack of self-esteem, often leading to overcompensation or withdrawal.

Genetic Defects

Abnormalities in the genome that lead to diseases or conditions, often hereditary.

Free Association

a psychoanalytic technique in which a patient speaks freely about whatever thoughts or images come to mind, allowing for the exploration of the unconscious.

Psychoanalysis

A therapeutic technique and theory developed by Sigmund Freud that aims to explore the unconscious mind to resolve psychological conflicts and issues.