The demand for product X is 10 000 pieces for the price of EUR 120. The price has increased to 140 and the demand for the product X has dropped to 8 000 pieces. Calculate the price elasticity of demand.

The demand for product X is 10 000 pieces for the price of EUR 120. The price has increased to 140 and the demand for the product X has dropped to 8 000 pieces. Calculate the price elasticity of demand.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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The demand for product X is 10 000 pieces for the price of EUR 120. The price has increased to 140 and the demand for the
product X has dropped to 8 000 pieces.
Calculate the price elasticity of demand.

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