Suppose the Supply of Bicycles Is Price Elastic

question 33

Multiple Choice

Suppose the supply of bicycles is price elastic.This means that

• A)consumers will respond significantly to an increase in the quantity of bicycles supplied.
• B)suppliers will increase the quantity of bicycles supplied, but not immediately.
• C)suppliers face many substitutes for bicycles.
• D)suppliers will respond significantly to changes in the price of bicycles.

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Definitions:

Criterion-related Validity

The extent to which a measure is related to an outcome or criterion, testing how well one measure predicts an outcome for another measure.

Construct Validity

The extent to which a test measures what it claims to be measuring.

Construct Validity

The degree to which a test measures what it claims to be measuring, specifically the ability of a measurement tool to actually measure the theoretical construct it intends to measure.

Criterion-related Validity

The extent to which a test's scores correlate with another measure or outcome that it is theoretically expected to predict.