If the Price of Corn Increases by 20 Percent and the Quantity

question 295

Multiple Choice

If the price of corn increases by 20 percent and the quantity supplied of corn increases by 30 percent,then supply is

• A) elastic and the elasticity of supply equals 1.5.
• B) inelastic and the elasticity of supply equals 1.5.
• C) elastic and the elasticity of supply equals 0.66.
• D) inelastic and the elasticity of supply equals 0.66.
• E) either elastic or inelastic, but more information about the elasticity of demand is needed to determine which.

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Definitions:

Motivation

The process that initiates, guides, and maintains goal-oriented behaviors, driving individuals to act.

Focus Group

A qualitative research method involving a small, demographically diverse group of people whose reactions are studied especially in response to new products or policies.

Group Interview

A method of collecting qualitative data that involves simultaneous interaction with multiple participants to explore their perceptions, ideas, or opinions.

In-Group Review

A process where members of a specific group or community evaluate the work, behavior, or contributions of their peers within the same group.