If the Demand Curve Is Perfectly Elastic, Then an Increase

question 70

Multiple Choice

If the demand curve is perfectly elastic, then an increase in supply will:

• A)​increase both the price and the quantity exchanged.
• B)​increase the price but result in no change in the quantity exchanged.
• C)​increase the quantity exchanged but result in no change in the price.
• D)​decrease the price but result in no change in the quantity exchanged.

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Definitions:

Emotional Stability

A personality trait characterized by the consistency of one's emotional state and the ability to remain calm and composed under stress.

Core Self-evaluations

A broad personality concept that consists of more specific traits like self-esteem, generalized self-efficacy, locus of control, and emotional stability.

Neuroticism

A characteristic of personality marked by fluctuations in emotions, nervousness, changeable moods, quick temper, and feelings of sorrow.

Negative Affectivity

A personality trait that involves the predisposition to perceive a wide range of events as threatening or problematic.