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If the Price Elasticity of Demand for Harley-Davidson Motorcycles Is

Question 24

Multiple Choice

If the price elasticity of demand for Harley-Davidson motorcycles is -1.2 and quantity demanded increases by 24%,price must have


A) decreased by 20%.
B) increased by 20%.
C) decreased by 28.8%.
D) decreased by 0.05%.

Correct Answer:

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