Test_4_A141 - PRINCIPLES OF ECONOMICS GROUP H I Test 4(Chapter 4 1 The price elasticity of demand is the percentage change in A price divided by the

Test_4_A141 - PRINCIPLES OF ECONOMICS GROUP H I Test...

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1 PRINCIPLES OF ECONOMICS GROUP H & I Test 4 (Chapter 4) 1.The price elasticity of demand is the percentage change in A.price divided by the percentage change in quantity demanded. B.price divided by the percentage change in demand. C.quantity demanded divided by the percentage change in price. D.demand divided by the percentage change in price. 2.The price elasticity of demand tends to be higher for goods 3.If the cross elasticity of demand for two goods is negative, 4.If a small increase in the price of a good reduces quantity demanded to zero, demand is ________ and the price elasticity of demand is _________.

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