Suppose That the Percentage Change in Supply Is 20%, the Price

question 147

Multiple Choice

Suppose that the percentage change in supply is 20%, the price elasticity of demand is 3, and the percentage change in the equilibrium price is 4%. What is the price elasticity of supply?

• A) 0
• B) 2
• C) 4
• D) 5

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Definitions:

Lawrence Kohlberg

An American psychologist best known for his theory of stages of moral development.

Moral Dilemmas

Situations in which a difficult choice has to be made between two or more actions, each of which entails violating some ethical principle.

Moral Development

The process through which individuals develop proper attitudes and behaviors toward other people in society, based on social and cultural norms, rules, and laws.

Zone of Proximal Development

A concept in developmental psychology referring to the difference between what a learner can do without help and what he or she can achieve with guidance and encouragement from a skilled partner.