Post Utme Uniosun 2023 Economics Question 13

Practice objective / multiple choice question 13 from the 2023 Post Utme Uniosun Economics examination.

Post Utme Uniosun 2023 Economics Objective / Multiple Choice
Question 13 POST_UTME_UNIOSUN • 2023 • ECONOMICS • objective

A monopolistically competitive firm is operating in a market with a cons\tant elasticity of demand. If the firm experiences a 5% increase in production \costs, what is the likely effect on the firm's price?

Answer Options

Correct Answer A. The price will increase by 5%
B. The price will increase by 10%
C. The price will remain unchanged
D. The price will decrease by 5%
Correct Answer
A
Correct Option:
The price will increase by 5%

About This Question

This is Post Utme Uniosun 2023 Economics Question 13. It is one of the objective questions from the 2023 Post Utme Uniosun Economics examination.

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