If the Absolute Price Elasticity of Demand for a Product

Multiple Choice

If the absolute price elasticity of demand for a product is equal to 1, then

A) the absolute price elasticity of demand is inelastic and consumers are relatively insensitive to price changes.
B) the absolute price elasticity of demand is inelastic and consumers are relatively sensitive to price changes.
C) the absolute price elasticity of demand is elastic and consumers are relatively insensitive to price changes.
D) the absolute price elasticity of demand is unit-elastic and the percentage change in quantity demanded equals the percentage change in price.