Which of the Following Is True

question 184

Multiple Choice

Which of the following is true?
I.The easier it is to find substitutes for a good,the more price elastic the demand for the good is.
II.The demand for a good is more price elastic the smaller the proportion of income spent on it.
III.If demand is price elastic,lowering the price leads to a decrease in total revenue.

• A) Only I
• B) Only II
• C) Only III
• D) I and II
• E) I and III

---

Definitions:

Negligence Established

The condition in which it has been proven that a party failed to exercise a degree of care that a reasonably prudent person would have in a similar situation, leading to harm or damage.

Warning Affixed

Notices or labels attached to a product that inform consumers about potential risks associated with its use.

Squirt Gun Mishap

An incident involving unintended consequences or accidents from the use of a water pistol or squirt gun.

Product Itself

The actual good or service being offered to the consumer, distinguished from aspects such as packaging or delivery.