Tara Buys Four Music CDs When the Price Is $10

question 100

Multiple Choice

Tara buys four music CDs when the price is $10 and two CDs when the price is $14.Her price elasticity of demand is (using the average values method) :

• A)0.
• B)1.
• C)2.
• D)3.
• E)4.

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Definitions:

Social Risk

Social risk in consumer behavior refers to the potential for a product or service to adversely affect the user's social standing, image, or relationships with others.

Psychological Risk

The potential for a product or service to evoke negative emotional states or threaten one's self-concept.

Public or Private

Categories that distinguish between entities or spaces owned and managed by the government (public) and those owned by individuals or corporations (private).

High-Ticket Items

Products or services that are of high value and price, often considered luxury or premium goods, requiring significant purchasing decisions.