V. ASSESSMENT Post Test : True or False Directions: Read the sentences carefully. Write TRUE if the statement is correct and FALSE if the statement is incorrect. 1. Price elasticity refers to the degree in which the effective desire for something changes as its price changes. 2. Unitary elasticity is a given percentage changes in price leads to negative percentage change in quantity demanded or supplied 3. In equilibrium price is when the supply of goods matches demand, the supply and demand are relatively equal in the market. 4. If the demand of a good or service is static even when the price changes, demand is said to be elastic. 5. The inelastic demand or supply curve is one where a given percentage change in price will cause a smaller percentage change in quantity demanded or supplied. 6. The economic equilibrium is a situation in which economic forces such as supply and demand are balanced and in the absence of external influences the values of economic variables will change. 7. In information function the price system provides vital information to producers and resource providers, to the consumers. 8. The elastic demand or supply curve indicates that quantity demanded or supplied respond to price changes in a less than proportional manner. 9. A "soursop or guyabano with an elastic demand gets more sales when its price drops slightly. When its price goes up, it stays longer in the box. 10. The elasticity of demand refers to the change in demand when there is a change such as price or income.
