When a certain brand of dog food sells for $20 per bag, 10,000 units are sold; when the price changes to $22, 8000 units are sold. Calculate its price elasticity of demand. Enter only numbers, a decimal point, and/or a negative sign as needed. Round your answer to two decimal places as necessary; when rounding on intermediate steps, use four places. Consider again the dog food from the last question. Demand for this dog food is inferior O normal O (relatively) elastic O unit elastic O (relatively) inelastic
When a certain brand of dog food sells for $20 per bag, 10,000 units are sold; when the price changes to $22, 8000 units are sold. Calculate its price elasticity of demand. Enter only numbers, a decimal point, and/or a negative sign as needed. Round your answer to two decimal places as necessary; when rounding on intermediate steps, use four places. Consider again the dog food from the last question. Demand for this dog food is inferior O normal O (relatively) elastic O unit elastic O (relatively) inelastic
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:When a certain brand of dog food sells for $20 per bag, 10,000 units are sold;
when the price changes to $22, 8000 units are sold. Calculate its price elasticity of
demand.
Enter only numbers, a decimal point, and/or a negative sign as needed. Round your
answer to two decimal places as necessary; when rounding on intermediate steps, use
four places.
Consider again the dog food from the last question.
Demand for this dog food is
inferior
O normal
O (relatively) elastic
unit elastic
O (relatively) inelastic
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