Vacation Village Enacts an Ordinance to Allow Only a Few

question 55

Multiple Choice

Vacation Village enacts an ordinance to allow only a few street vendors to op?er?ate in certain areas, for the purpose of reducing traffic. A court would likely subject this ordinance to

• A) a police power test under the commerce clause.
• B) a "rational basis" test under the equal protection clause.
• C) intermediate scrutiny under the due process clause.
• D) strict scrutiny under the First Amendment.

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Definitions:

Elastic

Describes a situation in economics where the demand or supply for a product changes significantly when its price changes.

Inelastic

Refers to a market for a product or service that is price insensitive; that is, relatively small changes in price will not generate large changes in the quantity demanded.

Products

Items or services offered by a business to customers, which can include physical goods, services, and digital products.

Perceptions of Value

How consumers view the worth of a product or service based on its perceived benefits versus the cost, which influences their purchasing decisions.