The Following Graph Depicts Demand

question 20

Multiple Choice

The following graph depicts demand. The price elasticity of demand at point D is:

• A)5/2.
• B)1/2.
• C)2/5.
• D)2.

Recognize the impact of waste, especially in developed countries, on the environment.

Know the major environmental and sustainability issues recognized in the twentieth and twenty-first centuries.

Understand the potential impact of biofuels like ethanol on food supplies and the environment.

Identify and differentiate between certification programs for environmentally sustainable buildings.

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Definitions:

Cross-price Elasticity

A gauge of the reaction in the amount of one product demanded when there's a price change in another product.

Substitutes

Goods or services that can be used in place of each other, where the increase in the price of one leads to an increase in the demand for the other.

Demand Elasticity

The degree to which the quantity demanded of a good or service changes in response to a change in its price.

Labor Supply Curve

A graphical representation showing the relationship between the amount of labor workers are willing to offer and the wage rate.