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    Exam 5: Elasticity: a Measure of Responsiveness
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    If the Price Elasticity of Supply Is 1
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If the Price Elasticity of Supply Is 1

Question 122

Question 122

Essay

If the price elasticity of supply is 1.2,then a 15% decrease in price will result in how much of a percentage change in quantity supplied? Will quantity supplied increase or decrease?

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