Percent reduction in quantity placed-market increase price
Q1) If price of gasoline is $2.00 and price elasticity of demand is 0.4, how much will 10 percent reduction in quantity placed on market increase the price? Will total spending on gasoline rise? If so, by what percentage?
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If price of gasoline is $2.00 and price elasticity of demand is 0.4, how much will 10 percent reduction in quantity placed on market increase the price?
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