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The Price of Product X Increases from $35 to $40

Question 61

Multiple Choice

The price of product X increases from $35 to $40, and as a result, the quantity demanded decreases from 250 to 200. Over this price range,


A) demand is elastic.
B) demand is inelastic.
C) demand is of unitary elasticity.
D) there is insufficient information to determine the price elasticity of demand.

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