Suppose 50 Loaves of Bread Are Demanded at a Particular

Multiple Choice

Suppose 50 loaves of bread are demanded at a particular price.If that price rises by 2 percent,the quantity demanded decreases to 49.5 loaves of bread.This implies:

A) demand is elastic.
B) demand is unit-elastic.
C) the price elasticity of demand is equal to 2.
D) demand is inelastic.
E) consumers are very responsive to a price change.