If quantity demanded rises by 60% and price falls by 20%, the price elasticity of demand is
A) 3.
B) 20.
C) 60.
D) 0.33.

Name: If quantity demanded rises by 60% and price falls by 20%, the price elasticity of demand is A) 3. B) 20. C) 60. D) 0.33.
Brand: Quizplus
Rating: 4.8 (38 reviews)

Question

Quizplus · Accepted Answer

The price elasticity of demand is calculated as the percentage change in quantity demanded divided by the percentage change in price, which is (60%/20%) = 3.

If Quantity Demanded Rises by 60% and Price Falls by 20