If the Price of Corn Chips Increases from $2

question 80

Multiple Choice

If the price of corn chips increases from $2.00 per bag to $3.00 per bag and the quantity demanded goes down from 100 million bags per week to 50 million bags per week, the absolute value of price elasticity of demand in that price range is

• A) 0.50.
• B) 1.67.
• C) 0.93.
• D) 2.33.

---

Definitions:

Principal

The amount of money initially invested or loaned, in contrast to interest or profit earned from the investment.

Authority

The authority or capability to issue commands, make choices, and ensure compliance.

Export Controls List

A regulatory document or framework that specifies goods, software, or technology that are restricted or controlled for export, to comply with national security and trade policies.

Export Broker

An individual or company that acts as an intermediary, helping businesses to sell and distribute products to foreign markets without having to deal with the complexities of export regulations directly.