When the Demand for a Product Is Said to Be

question 41

Multiple Choice

When the demand for a product is said to be perfectly inelastic, it implies that:

• A) the sales of the product are very sensitive to changes in price.
• B) the demand curve for the product is relatively flat.
• C) the profit per-unit increases with an increase in price.
• D) with a change in price, change in quantity demanded is zero.
• E) as price increases, the quantity demanded increases.

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Definitions:

ANOVA

Analysis of Variance, a statistical method used to assess whether there are significant differences between the means of three or more groups.

MST

An abbreviation that could refer to multiple subject terms, one common being Minimum Spanning Tree, a concept in graph theory used to minimize the path lengths connecting all points in a network.

MSE

Mean Squared Error, a measure of the quality of an estimator—it is always non-negative, and values closer to zero are better.

Horticulturist

A professional or expert involved in the practice of horticulture, focusing on the cultivation of plants for food, comfort, and aesthetic purposes.