Figure 8.1 Note: a Hoagie Is Essentially a Submarine Sandwich

question 12

Multiple Choice

Figure 8.1

Note: a hoagie is essentially a submarine sandwich.
-Refer to Figure 8.1.When the price of hoagies (sandwiches) increases from $5.00 to $5.75, quantity demanded decreases from Q₁ to Q₀.This change in quantity demanded is due to

• A)the price and output effects.
• B)the income and substitution effects.
• C)the fact that marginal willingness to pay falls.
• D)the law of diminishing marginal utility.

---

Definitions:

Tall Hierarchies

Organizational structures with multiple levels of management and authority, sometimes leading to slower decision-making processes.

Employee Empowerment

Practices that give employees more autonomy, responsibility, and authority over their work, aiming to increase engagement and productivity.

Centralized Structures

Organizational designs where decision-making authority is consolidated at the top levels of management, leading to a hierarchy of control and limited autonomy lower down.

Decentralized

Refers to the distribution of decision-making powers away from a central authority, allowing for greater input and autonomy at the local or divisional levels.