If Elasticity of Demand Is 0

question 19

Multiple Choice

If elasticity of demand is 0.1,a 1% increase in price will lower quantity demanded by

• A)0.01%.
• B)0.1%.
• C)1.0%.
• D)10%.
• E)100%.

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Definitions:

Atmosphere

The layer of gases surrounding a planet, crucial for supporting life on Earth, composed mainly of nitrogen, oxygen, argon, and carbon dioxide.

Fossil Fuels

Naturally occurring carbon-based fuels derived from the decomposed remains of ancient plants and animals, such as coal, oil, and natural gas.

Energy Pyramid

For an ecosystem, a graphic depicting the energy that flows through each trophic level in a given interval.

Trophic Level

The rank in the food chain of an organism, determined by the number of energy-transfer steps to that level.