Answered: When the price of gasoline rises by 3 %…

When the price of gasoline rises by 3 % the quantity demanded falls by 0.12 % . Calculate the price elasticity of demand and show whether demand on gasoline is elastic or inelastic .

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter5: Price Elasticity Of Demand And Supply

Section: Chapter Questions

Problem 5SQP: Suppose a university raises its tuition from 3,000 to 3,500. As a result, student enrollment falls...

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When the price of gasoline rises by 3 % the quantity demanded falls by 0.12 % . Calculate the price elasticity of demand and show whether demand on gasoline is elastic or inelastic .

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