For Which of the Following Goods Is the Income Elasticity

question 122

Multiple Choice

For which of the following goods is the income elasticity of demand likely highest?

• A)water
• B)diamonds
• C)hamburgers
• D)housing

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Definitions:

Collective Unconscious

A concept proposed by Carl Jung, referring to the part of the unconscious mind that is derived from ancestral memory and experience and is common to all humankind.

Ego

The part of the psyche that mediates between the conscious, the unconscious, and the external world, according to Freudian psychology.

Erogenous Zones

Areas of the body that are particularly sensitive to sexual stimulation.

Id's Pleasure-Seeking Energies

The component of the human psyche in Freudian psychology associated with instinctual urges and drives for immediate gratification.