Scenario 5-3 Suppose That the Supply of Aged Cheddar Cheese Is Inelastic,and

question 2

Multiple Choice

Scenario 5-3
Suppose that the supply of aged cheddar cheese is inelastic,and the supply of bread is elastic.Both goods are considered to be normal goods by a majority of consumers.Suppose that a large income tax increase decreases the demand for both goods by 10%.
-Refer to Scenario 5-3.The price elasticity of supply for bread could be

• A)-1.
• B)0.
• C)0.5.
• D)1.5.

---

Definitions:

Content Aggregator

A software or platform that collects and displays content from various sources in a single location, often used for news, articles, or social media feeds.

Feedly

An aggregator application for web browsers and mobile devices designed to compile news feeds from a variety of online sources.

The Web

Commonly known as the World Wide Web, it is a system of interconnected documents and web resources, linked by hyperlinks and accessible over the Internet.

The Internet

A global network of interconnected computers and servers that enables information sharing and communication across the world.