A Firm That Changes Its Price and Sees No Change

question 214

Multiple Choice

A firm that changes its price and sees no change in the total revenues it receives is facing demand that is

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

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Definitions:

Systematic Desensitization

is a behavioral therapy technique used to reduce anxiety through gradual exposure to the feared object or situation coupled with relaxation exercises.

Progressive Relaxation

A technique involving the tensing and relaxing of muscle groups in sequence to achieve physical and mental relaxation.

Feared Object

An object or situation that elicits a strong fearful or phobic reaction from an individual.

Token Economy

A behavior modification system that uses tokens as a form of reward for performing targeted behaviors, which can later be exchanged for specific rewards.