When Demand Is Elastic, a Fall in Price Causes Total

question 253

Multiple Choice

When demand is elastic, a fall in price causes total revenue to rise because

• A)when price falls, quantity sold increases so total revenue automatically rises.
• B)the increase in quantity sold is large enough to offset the lower price.
• C)the percentage increase in quantity demanded is less than the percentage fall in price.
• D)the demand curve shifts.

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Definitions:

Autonomy

The capacity to make an informed, uncoerced decision; often relates to the ability of individuals to govern themselves.

Blastocyst

An early stage of embryonic development that consists of a sphere of cells enveloping a fluid-filled cavity and a cluster of cells inside known as the inner cell mass.

Embryo

An early stage of development in multicellular organisms, in humans, this refers to the period from fertilization until the eighth week of gestation.

Germinal Zygote

A term describing the earliest stage of embryonic development, immediately following fertilization of an egg by a sperm.