A Price Increase from $43 to $49 Results in an Increase

question 247

Multiple Choice

A price increase from $43 to $49 results in an increase in quantity supplied from 220 units to 240 units. The price elasticity of supply in this price range is

• A) .3
• B) .67
• C) 1.50
• D) 3.33

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Definitions:

Commerce

The activity of buying and selling, especially on a large scale, encompassing legal, economic, political, social, cultural, and technological systems that operate in a country or internationally.

Customization

The process of modifying a product or service to meet the specific needs or preferences of an individual customer or market segment.

Digital Marketspace

An online environment where goods and services are exchanged through electronic transactions, expanding the reach beyond traditional physical marketplaces.

Online Consumers

Consumers engaging in the purchase of goods or services through the internet.