If the Price Elasticity of Supply Is 0

question 74

Multiple Choice

If the price elasticity of supply is 0.4,and a price increase led to a 5% increase in quantity supplied,then the price increase is about

• A)0.25%.
• B)1.2%.
• C)2%.
• D)12.5%.

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Definitions:

Classically Conditioned

The process by which an individual learns to associate a neutral stimulus with a biologically potent stimulus, producing a response to the neutral stimulus.

Square

A four-sided polygon with all sides of equal length and all angles measuring 90 degrees.

700 Hertz

A frequency of 700 cycles per second, often referenced in acoustics, signaling, or telecommunications.

1000 Hertz

A frequency of sound wave equivalent to 1000 cycles per second, often utilized in audio testing and applications.