Which of the Following Is True

question 184

Multiple Choice

Which of the following is true?
I.The easier it is to find substitutes for a good,the more price elastic the demand for the good is.
II.The demand for a good is more price elastic the smaller the proportion of income spent on it.
III.If demand is price elastic,lowering the price leads to a decrease in total revenue.

• A) Only I
• B) Only II
• C) Only III
• D) I and II
• E) I and III

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Definitions:

Fiber Optics

A technology that uses thin, flexible fibers of glass or plastic to transmit light signals for high-speed data communication.

DSL

Digital Subscriber Line, a family of technologies that provide internet access by transmitting digital data over the wires of a local telephone network.

Client/Server

A model of computer networking where a client device requests services and resources from a centrally located server.

Central

Located in the center or of main importance.