Post Utme Achievers University 2020 Economics Question 21

Practice objective / multiple choice question 21 from the 2020 Post Utme Achievers University Economics examination.

Post Utme Achievers University 2020 Economics Objective / Multiple Choice
Question 21 POST_UTME_ACHIEVERS_UNIVERSITY • 2020 • ECONOMICS • objective

A firm operates in a perfectly competitive market with a given supply curve. If the price elasticity of demand is 0.5, what is the likely effect on the firm's output?

Answer Options

A. Increase output
Correct Answer B. Decrease output
C. No change in output
D. Increase price
Correct Answer
B
Correct Option:
Decrease output

About This Question

This is Post Utme Achievers University 2020 Economics Question 21. It is one of the objective questions from the 2020 Post Utme Achievers University Economics examination.

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