Under Which of the Following Conditions Will an Increase in Demand

question 54

Multiple Choice

Under which of the following conditions will an increase in demand cause a relatively small increase in price?

• A) If the shift of the demand curve is relatively small, the gap between the new demand and the old supply will be relatively small.
• B) If there is highly elastic demand, consumers are very responsive to changes in price.
• C) If there is highly elastic supply, producers are very responsive to changes in price.
• D) All of the above.

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Definitions:

Optic Chiasma

A part of the brain where the optic nerves partially cross, playing a crucial role in the visual system by combining visual information from each eye.

Optic Nerve

The nerve that transmits visual information from the retina to the brain.

Visual Cortex

Area in the occipital lobe of the cerebral cortex that integrates visual information and produces the sensation of vision.

Visual Cortex

A part of the cerebral cortex in the brain responsible for processing visual information.