The Price Elasticity of Supply of Laptop Computers Equals 1

question 128

Multiple Choice

The price elasticity of supply of laptop computers equals 1.5 if

• A) a rightward shift of the demand curve for laptops causes the quantity supplied to increase by 1.5 percent.
• B) a rightward shift of the demand curve for laptops causes a 1.5 percent increase in their price.
• C) for every 1 percent that laptop prices increase, computer makers produce another 1.5 percent laptops.
• D) for every $1.00 that laptops increase in price, computer makers produce another 150 laptops.

---

Definitions:

Incentive Plans

Programs designed to motivate and reward employees for exceeding performance goals or benchmarks.

Learning New Skills

The process of acquiring new abilities or knowledge that can enhance an individual's proficiency or capacity to perform.

Equal Incentives

Involves providing the same rewards or bonuses to all employees or members of a group to ensure fairness and motivation across the board.

Standard Error

The standard deviation of the sampling distribution of a statistic, often used as a measure of variability.