08:40Introduction to price elasticity of demand | APⓇ Microeconomics | Khan AcademyKhan Academy94views
Open QuestionThe price of widgets is currently $44 with a quantity demanded of 200,000 units. If the price decreases to $36, the quantity demanded increases 280,000. Using the midpoint method, what is the price elasticity of demand? Is demand elastic or inelastic?121views1rankHas a video solution.
Multiple ChoiceAssume that the price elasticity of demand for cigarettes is 0.4. If a pack of cigarettes currently costs $6 and the government aims to decrease smoking by 20 percent, by how much should it increase the price?507views1rankHas a video solution.