If the elasticity of demand for the latest Taylor Swift album is 1.4, this means Multiple Choice few substitutes for the American Idol album exist. a 1 percent increase in the price leads to a 14 percent decrease in quantity demanded. a 10 percent decrease in the price leads to a 140 percent increase in quantity demanded. a 5 percent increase in the price leads to a 7 percent decrease in quantity demanded.

If the elasticity of demand for the latest Taylor Swift album is 1.4, this means Multiple Choice few substitutes for the American Idol album exist. a 1 percent increase in the price leads to a 14 percent decrease in quantity demanded. a 10 percent decrease in the price leads to a 140 percent increase in quantity demanded. a 5 percent increase in the price leads to a 7 percent decrease in quantity demanded.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

TB MC Qu. 04-52 If the elasticity of demand...
If the elasticity of demand for the latest Taylor Swift album is 1.4, this means
Multiple Choice
few substitutes for the American Idol album exist.
a 1 percent increase in the price leads to a 14 percent decrease in quantity
demanded.
a 10 percent decrease in the price leads to a 140 percent increase in quantity
demanded.
a 5 percent increase in the price leads to a 7 percent decrease in quantity
demanded.

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