The Elasticity of Demand for Oil Is About 0

question 122

Multiple Choice

The elasticity of demand for oil is about 0.5, and the elasticity of supply is about 0.3. If the Arctic National Wildlife Refuge (ANWR) were drilled and the world supply of oil increased by 3 percent, what is the estimated percent change in the world price of oil?

• A) -1.25 percent
• B) -2.50 percent
• C) -3.75 percent
• D) Unknown

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Definitions:

Tripod Alternating Position

A physical position or maneuver often used in rehabilitation and physical therapy to help improve balance and stability.

Full Leg Cast

A type of orthopedic cast that encases the entire leg from the thigh to the foot, used to immobilize the leg to heal bones or injuries.

Body Mechanics

Body mechanics involves the use of proper body movements in daily activities to prevent injury and maintain body balance and posture.

Wide Base of Support

A stance with feet further apart providing greater stability and balance to an individual.