If an increase in the price of a product from $100 to $200 per unit leads to a decrease in the quantity demanded from 10 to 8 units, then demand is
A) elastic
B) inelastic
C) unit elastic
D) 0
E) inferior
Correct Answer:
Verified
Q21: Demand is inelastic only if
A)price elasticity has
Q22: As price decreases along a linear demand
Q23: Exhibit 5-2 Q24: Demand is elastic whenever Q25: If price elasticity of demand is -0.5, Q27: If a 5% increase in price leads Q28: If the price of Pepsi-Cola increases from Q29: If a firm facing a perfectly elastic Q30: Unit elastic demand occurs when Q31: Exhibit 5-4 
A)price elasticity has an
A)a
A)a one-unit increase
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