Practice question · Estimate
If and price rises by 10%, demand falls by approximately:
Estimate on a scale from 0% (0) to 30% (30).
Hints
- The elasticity multiplies the percentage price change.
- The sign tells you the direction of the quantity response.
Show the answer
15 (answers within ±2 count)
Why
. Demand falls 15%, the elasticity is a direct multiplier from price changes to quantity changes.
Practise Economic Applications
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