The Price Elasticity of Demand Measures Which of the Following

question 141

Multiple Choice

The price elasticity of demand measures which of the following?

• A) the slope of the demand curve
• B) the rate at which demand changes when price changes
• C) how responsive the quantity demanded is to changes in price
• D) the percentage-slope of the demand curve
• E) None of these correctly defines what price elasticity of demand measures.

---

Definitions:

Securities Act of 1933

A U.S. federal law that regulates the sale of securities to the public, requiring transparency and disclosure to protect investors.

Liability

The state of being legally responsible for something, especially in terms of owing something to someone or for actions causing harm or damage.

Tender Offer

A public offer made by an entity or individual to purchase a substantial portion of a company’s shares or bonds at a specified price and within a specific time.

Securities Exchange Act

U.S. legislation that regulates the trading of securities to protect investors and maintain fair and efficient markets.