If the Elasticity of Demand for a Service Is 0

question 96

Multiple Choice

If the elasticity of demand for a service is 0.4 and price is raised,

• A)total revenue will fall.
• B)total revenue will rise.
• C)total revenue will stay the same.
• D)there is no way to determine whether total revenue will rise,fall,or remain the same.

---

Definitions:

Higher-Order Conditioning

A process in classical conditioning in which a conditioned stimulus is paired with a new neutral stimulus, creating a second (often weaker) conditioned response.

Generalization

The process by which an animal or a person responds to a new stimulus in a way that's similar to how they responded to a previously encountered stimulus.

Operant Conditioning

An approach to education that utilizes incentives and penalties to shape behavior.

Conditioned Taste Aversions

A learned response where an individual avoids a food after a negative experience, demonstrating how tastes become associated with illness or discomfort.