With regard to elasticities of demand: Group of answer choices: A) price elasticity should actually be the sole basis for pricing decisions. B) price elasticity = % change in price divided by % change in quantity. C) price increases result in revenue increases if demand is price inelastic. D) price decreases result in revenue decreases if demand is price elastic.
With regard to elasticities of demand: Group of answer choices: A) price elasticity should actually be the sole basis for pricing decisions. B) price elasticity = % change in price divided by % change in quantity. C) price increases result in revenue increases if demand is price inelastic. D) price decreases result in revenue decreases if demand is price elastic.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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With regard to elasticities of demand:
Group of answer choices:
A) price elasticity should actually be the sole basis for pricing decisions.
B) price elasticity = % change in price divided by % change in quantity.
C) price increases result in revenue increases if demand is price inelastic.
D) price decreases result in revenue decreases if demand is price elastic.
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