Refer to the information provided in Figure 5.3 below to answer the question(s) that follow. Figure 5.3Refer to Figure 5.3. Use the midpoint formula. If the price of a gardenburger decreases from $8 to $7, the price elasticity of demand equals ________ and demand is ________.

A. -2.29; inelastic
B. -0.47; inelastic
C. -3.5; elastic
D. -2.14; elastic


Answer: D

Economics

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