If the Price Elasticity of Demand for Peanut Butter Is

question 255

Multiple Choice

If the price elasticity of demand for peanut butter is 2.4, then peanut butter

• A) has an elastic demand.
• B) has an inelastic demand.
• C) has a unit elastic demand.
• D) is a normal good.

---

Definitions:

Statistical Inference

The process of drawing conclusions about population properties based on a sample taken from the population.

Sample Proportion

The fraction or percentage of items in a sample that exhibit a particular trait or characteristic.

Standard Deviation

A measure of the amount of variation or dispersion of a set of values, indicating how much the values in a dataset differ from the mean.

Approximately Normal

A distribution is said to be approximately normal if it closely follows a normal distribution, characterized by its bell-shaped curve.