Suppose That Quantity Demand Falls by 30% as a Result

question 192

Multiple Choice

Suppose that quantity demand falls by 30% as a result of a 5% increase in price.The price elasticity of demand for this good is

• A)inelastic and equal to 6.
• B)elastic and equal to 6.
• C)inelastic and equal to 0.17.
• D)elastic and equal to 0.17.

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Definitions:

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The common tendency to attribute one's successes to personal characteristics and failures to external factors.

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