The Exhibit Illustrates Two Possible Demand Curves for a Product

question 144

Multiple Choice

The exhibit illustrates two possible demand curves for a product, D₁ and D₂. Which of the following is true regarding these demand curves?

• A)Demand curve D₁ represents a demand curve that is relatively more elastic than demand curve D₂.
• B)Demand curve D₁ represents a demand curve that is relatively more inelastic than demand curve D₂.
• C)Demand curve D₁ represents a demand curve that shows consumer purchases being more responsive to a change in the price of the good than demand curve D₂.
• D)Both are examples of unitary elastic demand curves.

Learn how external environments influence consumer behavior and decision-making.

Gain knowledge on how pre-existing product knowledge influences consumer choices.

Understand the comprehensive process of making a rational purchase decision.

Recognize the impact of incidental shopping experiences on consumer behavior.

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Definitions:

Heritable Trait

A characteristic or feature of an organism that can be passed from parent to offspring through genetic information.

Selection Differential

Selection differential is a measure of the strength of phenotypic selection. The selection differential describes the difference between the mean of the reproducing members of the population that contribute offspring to the next generation and the mean of all members of a population.

Quantitative Trait

A measurable phenotype that varies among individuals over a given range to produce a continuous distribution of a phenotype. Quantitative traits are sometimes called complex traits; they’re also sometimes called polygenic traits because their variation can be attributed to polygenic effects (that is, the cumulative action of many genes).

Heritability

The proportion of variation in a trait among individuals that can be attributed to genetic differences.