absolute value of the price elasticity of demand for a good is 3, then a 4 percent increase in the price of that good ______ the quantity demanded by ______ percent. a)increaes ;12 b)decreases. ; 12 c)decreases ; 3 d) increases; 3

absolute value of the price elasticity of demand for a good is 3, then a 4 percent increase in the price of that good the quantity demanded by percent. a)increaes ;12 b)decreases. ; 12 c)decreases ; 3 d) increases; 3

Economics For Today

10th Edition

ISBN:9781337613040

Author:Tucker

Publisher:Tucker

Chapter5: Price Elasticity Of Demand And Supply

Section: Chapter Questions

Problem 3SQ

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Question

If the absolute value of the price elasticity of demand for a good is 3, then a 4 percent increase in the price of that good ______ the quantity demanded by ______ percent.

a)increaes ;12

b)decreases. ; 12

c)decreases ; 3

d) increases; 3

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