If the Numerical Value of the Price Elasticity of Demand

question 103

Multiple Choice

If the numerical value of the price elasticity of demand is 3,then a one-percent change in price will cause a(n)

• A)larger percentage change in quantity demanded,so demand is elastic
• B)larger percentage change in quantity demanded,so demand is inelastic
• C)smaller percentage change in quantity demanded,so demand is elastic
• D)smaller percentage change in quantity demanded,so demand is inelastic
• E)equal percentage change in quantity demand,so demand is unitary elastic

---

Definitions:

Attitude

An inclination within the psyche to judge an observed entity with a level of preference or aversion.

Decisive Personality

A characteristic trait of individuals who can make choices quickly and confidently, often showing firmness and determination in their actions.

Cognitive Dissonance

A psychological concept referring to the mental discomfort experienced by a person who holds contradictory beliefs, ideas, or values.

Leon Festinger

An American social psychologist renowned for developing the theory of cognitive dissonance, which describes the psychological discomfort resulting from holding contradictory beliefs or attitudes.