Suppose an Increase in World Demand for Potash (Used in the Production

question 71

Multiple Choice

Suppose an increase in world demand for potash (used in the production of fertilizer) increases the price from $285 per tonne to $315 per tonne.Annual Canadian production increases from 15 million tonnes to 17 million tonnes.What is the elasticity of supply of Canadian potash?

• A)0.5
• B)0.8
• C)1.0
• D)1.25
• E)2.5

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Definitions:

Loggerhead Turtles

Marine turtles known for their large heads and powerful jaw muscles, which are listed as an endangered species under threat from habitat loss and bycatch in fishing gear.

Gravity

A force of attraction that exists between any two masses, any two bodies, any two particles.

Odors

Volatile substances that are perceived by the olfactory system, leading to the sense of smell.

Proximate Cause

The immediate, primary reason for an event or condition, often discussed in legal and biological contexts.