Recall the Application regarding the elasticity of demand for public transit varying over time to answer the following question(s).According to the Application, the demand for public transit is in the short run is ________, so a 10 percent increase in the transit fare will decrease ridership by ________.
A. 0.40; 4 percent
B. 0.60; 6 percent
C. 0.50; 5 percent
D. 0.7; 7 percent
Answer: A
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