If an increase in the price of a product from $1 to $2 per unit leads to a decrease in the quantity demanded from 100 to 80 units, then according to the averaging equation, the value of price elasticity of demand in absolute terms is:
a. 0.33.
b. 2.33.
c. 0.25.
d. 3.
e. 0.66.
a
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A. a price floor; below B. actual price; below C. actual price; above D. a price ceiling; below