A $100 Increase in the Price of a Restaurant Meal Results

question 27

Multiple Choice

A $1.00 increase in the price of a restaurant meal results in a drop in quantity demanded of 5 meals.Which of the following statements is correct?

• A)The slope of the demand curve is -1/5;there is insufficient information to determine the price elasticity of demand.
• B)The price elasticity of demand is -1/5;there is insufficient information to determine the slope of the demand curve.
• C)Both the slope of the demand curve and the price elasticity of demand are equal to -1/5.
• D)There is insufficient information to determine either the slope of the demand curve or the price elasticity of demand.
• E)The slope of the demand curve is -1/5;the price elasticity of demand is 5.

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Definitions:

Social Scare

A widespread panic or concern within society about a perceived threat or issue, often amplified by media and cultural discourse.

Global Warming

A gradual increase in the overall temperature of the earth's atmosphere due to the greenhouse effect caused by increased levels of carbon dioxide, CFCs, and other pollutants.

Environmental Racism

Environmental racism refers to the unequal exposure of communities, often marginalized or minority groups, to environmental hazards and the exclusion of these groups from decision-making processes related to their environment.

Discrimination

Is unfair treatment of people because of their group membership.