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Dmitry_Shevchenko [17]
3 years ago
10

g The price elasticity of gasoline demand in the United States is 0.4 If the price of gasoline rises by 8 what is the expected c

hange in the quantity of gasoline demanded in the United States Group of answer choices 5 20.0 3.2 3.2 5
Business
1 answer:
Phantasy [73]3 years ago
8 0

Answer: 3.2

Explanation:

The price elasticity of demand shows the change in quantity demanded of a good in response to a change in its price.

Price elasticity of demand = Change in quantity demand / Change in price

0.4 = Change in quantity demanded / 8

Change in quantity demanded = 0.4 * 8

= 3.2

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