The Demand for Chicken Wings Is More Elastic Than the Demand

question 60

Multiple Choice

The demand for chicken wings is more elastic than the demand for razor blades.Suppose the government levies an equivalent tax on chicken wings and razor blades.The deadweight loss would be larger in the market for

• A)chicken wings than in the market for razor blades because the quantity of chicken wings would fall by more than the quantity of razor blades.
• B)chicken wings than in the market for razor blades because the quantity of razor blades would fall by more than the quantity of chicken wings.
• C)razor blades than in the market for chicken wings because the quantity of chicken wings would fall by more than the quantity of razor blades.
• D)razor blades than in the market for chicken wings because the quantity of razor blades would fall by more than the quantity of chicken wings.

---

Definitions:

Marketing Accountability

Refers to the responsibility of marketers to design, execute, and evaluate marketing strategies and campaigns that achieve measurable returns on investment (ROI).

Situation Assessment

The process of evaluating the current state of a situation to identify opportunities, challenges, and factors that could influence decision making.

Sales Forecasting

The process of estimating future sales volumes based on historical sales data, market analysis, and current sales trends to guide business planning and budgeting.

Corporate-Level Strategy

Strategic approaches focused on the overall scope and direction of a corporation, deciding on business units, diversification, and market positioning.