Scenario: When the Price of Wine Is $10 Per Bottle

Multiple Choice

Scenario: When the price of wine is $10 per bottle, Thomas purchases 30 bottles of wine per month. Suppose the government levies a 50 percent tax on all alcoholic beverages . The burden of this tax is to be completely borne by the consumers. This reduces Thomas's consumption to 20 bottles of wine per month.
-Refer to the scenario above.Thomas's arc elasticity of demand for wine is ________.

A) −0.33
B) −0.67
C) −0.25
D) −1