The Benefit of a Subsidy Will Go Primarily to Sellers

question 154

Multiple Choice

The benefit of a subsidy will go primarily to sellers when the

• A) demand for the product is highly inelastic and supply is relatively elastic.
• B) demand for the product is highly elastic and the supply is relatively inelastic.
• C) subsidy is legally (statutorily) granted to the seller of the product.
• D) subsidy is legally (statutorily) granted to the buyer of the product.

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Definitions:

Motor Reproduction

The process in observational learning where an individual replicates or imitates the observed behaviors by converting mental images into motor actions.

Observational Learning

Acquiring knowledge by watching the actions of others and the results of those actions.

Reinforcement

In behavioral psychology, a process in which a behavior is encouraged or strengthened by a consequence that follows it.

Behavior

The way in which one acts or conducts oneself, especially towards others, shaped by learning, perception, and external stimuli.