Multiple Choice
Assume that the price elasticity of demand for petrol is -0.06.If the government tax causes the price of petrol to increase by 50 per cent, what will be the decrease in the quantity of petrol demanded?
A) 0) 5 per cent
B) 3) 0 per cent
C) 8) 33 per cent
D) 50 per cent
Correct Answer:
Verified
Correct Answer:
Verified
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