Which of the Following Statements About the Price Elasticity of Demand

question 110

Multiple Choice

Which of the following statements about the price elasticity of demand is correct?

• A)The price elasticity of demand for a good measures the willingness of buyers of the good to buy less of the good as its price increases.
• B)Price elasticity of demand reflects the many economic,psychological,and social forces that shape consumer tastes.
• C)Other things equal,if good x has close substitutes and good y does not have close substitutes,then the demand for good x will be more elastic than the demand for good y.
• D)All of the above are correct.

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Definitions:

Categorical Proposition

A proposition containing a subject and a predicate term and asserting that some or all of the referents of the subject term are included in or excluded from the class designated by the predicate term.

Predicate Class

A category of predicates that share common characteristics in their formulation or application.

Right Direction

In causal inference, refers to the correct identification of the direction of causality between variables.

Proposition

An announcement that expresses a judgment or personal view.