Elastic Demand Exists When A(n)

question 128

Multiple Choice

Elastic demand exists when a(n)

• A)a small percentage decrease in price produces a smaller percentage increase in quantity demanded and total revenue falls.
• B)a small percentage decrease in price produces a larger percentage increase in quantity demanded and total revenue increases.
• C)an increase in price causes a larger increase in quantity demanded and total revenue falls to zero.
• D)the quantity demanded remains the same regardless of level of price and total revenue is unchanged.
• E)a small percentage decrease in price produces a smaller percentage decrease in quantity demanded and total revenue increases.

---

Definitions:

Controlled Setting

A controlled setting is an environment where variables are manipulated or held constant to examine their effect on outcomes in an experimental study.

Confounding Factors

Variables that interfere with the clarity of the relationship between the independent and dependent variables in a study.

Confidentiality

The ethical principle or legal right that a physician or other healthcare provider will hold secret all information relating to a patient, unless the patient gives consent permitting disclosure.

Data

Factual information used as a basis for reasoning, discussion, or calculation, often collected through observation or research.