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Reading Comprehension: Structure Questions

What is the function of the first paragraph?

Good work!

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The first paragraph defines the concept of price elasticity of demand, and the rest of the passage shows several factors which influence the degree of elasticity.

Incorrect.

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The first paragraph defines and describes a concept, price elasticity of demand. The author does not introduce any debate in relation to this topic.

Incorrect.

[[snippet]]

The concept that is introduced in the first paragraph, price elasticity of demand, is also defined in that paragraph.

Incorrect.

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Although the first paragraph mentions basic economic models, it does not use them to make any comparisons.

Incorrect.

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The first paragraph discusses price elasticity of demand, not basic economic models.

The first paragraph discusses basic economic models upon which the following paragraphs elaborate.
The first paragraph compares several basic economic models.
The first paragraph introduces an economic concept which is defined in the following paragraphs.
The first paragraph presents a debate which the following paragraphs resolve.
The first paragraph defines an economic concept upon which the following paragraphs expand.