The Price Elasticity of Demand Is Typically Referred to as A/an

question 32

Multiple Choice

The price elasticity of demand is typically referred to as a/an _____

• A)absolute value.
• B)negative value.
• C)positive value.
• D)number greater than 1.
• E)number less than 1.

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Definitions:

Open Market

An economic system with few barriers to free market activity where prices for goods and services are determined by supply and demand.

Excess Reserves

Excess funds maintained by a bank or financial institution above the minimum levels mandated by regulatory authorities, creditors, or the institution's internal regulations.

Securities

Financial instruments that represent an ownership position in a publicly-traded corporation (stock), a creditor relationship with a governmental body or a corporation (bond), or rights to ownership as represented by an option.

Commercial Bank

A financial institution that provides services such as accepting deposits, providing business loans, and offering basic investment products.