What Good Is Most Likely to Have an Income Elasticity

question 115

Multiple Choice

What good is most likely to have an income elasticity of demand equal to 8?

• A) a doctor's visit
• B) toilet paper
• C) used clothing
• D) a five-star hotel
• E) college coursework

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Definitions:

Independent Sector

A term often used to describe the collection of organizations and institutions that operate outside of the government and for-profit sectors, usually encompassing nonprofits and voluntary organizations.

McGregor's Theory Y

A management concept that assumes employees are self-motivated, seek responsibility, and can solve problems creatively.

Scientific Management Theory

A theory of management that analyzes and synthesizes workflows, with the goal of improving economic efficiency and labor productivity.

Herzberg's Dissatisfiers

Factors, according to Frederick Herzberg's Two-Factor Theory, that can cause dissatisfaction in the workplace if not properly managed, such as poor working conditions or salary.