Answer:
The correct answer is a. more elastic demands.
Explanation:
There are some goods whose demand is very price sensitive, small variations in their price cause large variations in the quantity demanded. It is said of them that they have elastic demand. The goods that, on the contrary, are not sensitive to price are those of inelastic or rigid demand. In these large variations in prices can occur without consumers varying the quantities they demand. The intermediate case is called unit elasticity.
The elasticity of demand is measured by calculating the percentage by which the quantity demanded of a good varies when its price varies by one percent. If the result of the operation is greater than one, the demand for that good is elastic; If the result is between zero and one, its demand is inelastic.
The factors that influence the demand for a good to be more or less elastic are:
1) Type of needs that satisfies the good. If the good is of first necessity the demand is inelastic, it is acquired whatever the price; On the other hand, if the good is luxurious, the demand will be elastic since if the price increases a little, many consumers will be able to do without it.
2) Existence of substitute goods. If there are good substitutes, the demand for good will be very elastic. For example, a small increase in the price of olive oil can cause a large number of housewives to decide to use sunflower.
Answer:
Consumers are basis for any economy to work out.It is the consumers for which the country works and makes sure to fulfil the demand of the market. New businesses come into existence because they create needs in the consumers and fulfil those needs. These businesses become a part of the economy and therefore give an input.
If there are no consumers, there will be o demands and the produces will have no needs or demands to fulfil which would lead to less production and therefore leading towards the fall of the economy.
The business cycle where the economy is growing faster than usual.
Risk-averse: An example of a risk-averse company would be Kodak. this company was so risk averse it did not expand in time, making it impossible for it to stay afloat.
Risk-neutral: When a company is risk-neutral, it is indifferent to risk when it comes to an investment. Many companies related to government follow this pattern, as they are mostly unconcerned without money and instead focus on other missions.
Risk-seeking: Risk seeking is a acceptance of volatility and uncertainty in the hopes for obtaining higher results. Many startup companies could be considered risk-seeking.
Answer:
No, I don’t think this would be a good loan to make. Even if your sister means the world to you and you believe giving her that amount of money must be for a good cause… you should find out what the loan is for. After all, your sister is a 9 year-old.
Hope it helped! Have a good day.
