If the value of the price elasticity of demand is 0.2, this means that:
A. a 20 percent decrease in price causes a 1 percent increase in quantity demanded.
B. a 0.2 percent decrease in price causes a 1 percent increase in quantity demanded.
C. a 5 percent decrease in price causes a 1 percent increase in quantity demanded.
D. a 0.2 percent decrease in price causes a 0.2 percent increase in quantity demanded.
Answer: C
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