A 10 percent increase in the price of neckties leads to a 5 percent decrease in the quantity demanded of neckties. The absolute price elasticity of demand is
A) 3.
B) 0.33.
C) 0.5.
D) 2.
Correct Answer:
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Q9: The price elasticity of demand is
A) always
Q17: When economists want to obtain a measure
Q19: If price decreases by 10 percent and
Q20: If the price elasticity of demand for
Q21: A 3 percent increase in the price
Q23: The responsiveness of quantity demanded of a
Q24: The price elasticity of demand measures
A) the
Q26: The value of the absolute price elasticity
Q27: A value of the absolute price elasticity
Q32: The price elasticity of demand is measured
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