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If the Income Elasticity of Demand for Some Good Is

Question 150

Multiple Choice

If the income elasticity of demand for some good is 2.4,a 10% increase in income results in


A) a 24% increase in the quantity demanded.
B) a 2.4% increase in the quantity demanded.
C) a 240% increase in the quantity demanded.
D) a 24% decrease in quantity demanded.
E) a 240% decrease in quantity demanded.

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