If the Price Elasticity of Demand Is Found to Be

question 171

Multiple Choice

If the price elasticity of demand is found to be -6, then demand is:

• A) price inelastic.
• B) price elastic.
• C) unit price elastic.
• D) horizontal.

---

Definitions:

Short-Term Thinking

A focus or emphasis on immediate gains or results, often at the expense of long-term benefits.

Overconfidence

Overconfidence refers to an individual's unwarranted belief in their own abilities or the correctness of their judgement, often leading to mistakes or failures.

Nonprogrammed Decisions

Decisions made in response to unique, novel, or complex situations that require a custom-tailored approach.

Group Decisions

The outcome or resolution reached through a process of deliberation and discussion among members of a group.